The Operating Cycle Is the Time Required To

question 154

Multiple Choice

The operating cycle is the time required to:

• A)accept a customer order and manufacture the goods.
• B)record accounting transactions and prepare financial statements.
• C)acquire goods and services for sale to customers; sell the goods and services; and collect cash from customers.
• D)close the accounts and prepare the post-closing trial balance.

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Definitions:

Trade Shows

Events where companies within a specific industry showcase and demonstrate their latest products and services, meet with industry partners and customers, study activities of rivals, and examine recent market trends and opportunities.

B2B Sales

Business-to-Business sales involve transactions between two companies, rather than between a company and individual consumer.

Preapproach Stage

The stage in the selling process where the salesperson gathers information and prepares for a sales presentation.

Personal Selling Process

A direct method of selling where a salesperson personally presents products or services to potential customers with the aim of making a sale.