Clark Corporation Has an Average Collection Period of 7 Days

question 17

Multiple Choice

Clark Corporation has an average collection period of 7 days, an inventory conversion period of 30 days, and a payables deferrable period of 60 days. What is Clark's operating cycle?

• A) 97 days
• B) 37 days
• C) 23 days
• D) -23 days

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Definitions:

Bellini

An influential Italian Renaissance painter known for his keen use of color and development of a more naturalistic portrayal of figures.

Official Painter

An artist who is officially commissioned by a government or monarchy to create portraits or document events.

Assumption of the Virgin

A Christian belief and artistic theme representing the bodily taking up of the Virgin Mary into Heaven at the end of her earthly life.

Intensity

A measure of the strength or force of an entity or phenomenon, such as light, sound, emotions, or colors.