The operating cycle:

describes how a product moves through the current asset accounts.

is equal to the cash cycle plus the accounts receivable period.

begins when a product is sold to a customer.

illustrates the sources and uses of cash.

Which one of the following is directly related to increases in a firm's current assets?

Shortage costs

Restocking costs

Carrying costs

Reorder costs

Moore & Moore has just finished projecting its expected cash receipts and expenditures for next year. What is this projection called?

Operating projection

Compromise policy

Receivables schedule

Cash budget