28) Which one of these statements is correct? Assume all else held constant. A) decrease in...

 

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28) Which one of these statements is correct? Assume all else held constant. A) decrease in the accounts receivable turnover rate decreases the cash cycle. B) The cash cycle is equal to the operating cycle minus the inventory period. C) A negative cash cycle is preferable to a positive cash cycle. D) A decrease in the accounts payable period shortens the cash cycle. 28) Which one of these statements is correct? Assume all else held constant. A) decrease in the accounts receivable turnover rate decreases the cash cycle. B) The cash cycle is equal to the operating cycle minus the inventory period. C) A negative cash cycle is preferable to a positive cash cycle. D) A decrease in the accounts payable period shortens the cash cycle.

Answer rating: 100% (QA)

Cash cycle is given by Days of inventory outstanding Days of sale... View the full answer