Statements regarding operating and cash cycles

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Reference no: EM131176466

Which of the following statements regarding operating and cash cycles is true?

A. Operating cycle is the length of time between the acquisition of inventory and the collection of cash from receivables.

B. The length of time between the acquisition of inventory and its sale is called the days sales outstanding.

C. Accounts payable period is the length of time between the sale of inventory and the collection of cash from receivables.

D. The length of time between the payment for inventory and the sale of inventory is called the cash cycle.

Reference no: EM131176466

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