A Firm Has Annual Operating Outlays of $1,800,000 and a Cash

question 175

Multiple Choice

A firm has annual operating outlays of $1,800,000 and a cash conversion cycle of 60 days. If the firm currently pays 12 percent for financing and reduces its cash conversion cycle to 50 days, the annual savings is ________. (Assume a 365-day year.)

• A) $4,652.19
• B) $3,065.86
• C) $5,917.81
• D) $2,160.23

---

Definitions:

Planning Aspect

The phase of project management that involves outlining goals, strategies, tasks, and schedules to achieve desired outcomes.

Rich Medium

A communication channel that allows for immediate feedback, conveys multiple cues (such as tone, facial expression), and supports natural language.

Confidentiality

The principle or practice of maintaining the privacy of information shared in a trusted context, preventing disclosure to unauthorized parties.

Entry Points

Refers to the various ways a user can begin interacting with a system, service, or space, emphasizing accessibility and user experience.