Firms with Short Operating Cycles Will Experience Less of a Lag

question 45

Multiple Choice

Firms with short operating cycles will experience less of a lag between the creation and delivery of their products and the collection of cash from customers, for this reason

• A) their cash flow from operations will be much greater than their working capital from operations.
• B) their cash flow from operations will not differ much from their working capital from operations.
• C) their cash flow from operations will be much less than their working capital from operations.
• D) there will be no relation between their cash flow from operations and working capital from operations.

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Definitions:

Body Fluids

Liquids within the human body that perform important functions, including blood, saliva, urine, and sweat.

Hormone Levels

The concentration of hormones within the bloodstream, influencing various bodily functions and processes.

Kidney Function

The role played by the kidneys in filtering waste, controlling the body's fluid balance, and regulating electrolytes, blood pressure, and red blood cell production.

Hypovolemia

A condition characterized by a decreased volume of blood in the body, often leading to shock if severe.