The Operating Cycle Is the Elapsed Time Between The

question 144

Multiple Choice

The operating cycle is the elapsed time between the:

• A)Purchase of goods or services and the ultimate collection of cash from customers related to the sale of those goods.
• B)Sale of goods or services to customers and the payment to suppliers for those goods.
• C)Purchase of goods from suppliers and the performance of the related service for customers.
• D)Sale of goods and the delivery of those goods to customers.

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Definitions:

Development Tools

Software or hardware tools that aid in the creation, testing, and maintenance of products or systems.

Experiments

Systematic and scientific procedures carried out under controlled conditions to discover an unknown effect, to test or establish a hypothesis, or to illustrate a known effect.

Preselling

The practice of offering products or services for sale before they are released or available, to gauge customer interest and secure funding.

Crowdfunding

The process of raising funding for a new venture from a large audience (the “crowd”), typically through the Internet.