All else the same, which of the following would decrease the length of a firm\'s

Question

All else the same, which of the following would decrease the length of a firm's cash cycle? Consider each in isolation of one another. a. Inventory period decreases b. Accounts receivable period increases c. Accounts payable period decreases d. Operating cycle increases e. None of the above cash budget All else the same, which of the following would decrease the length of a firm's cash cycle? Consider each in isolation of one another. a. Inventory period decreases b. Accounts receivable period increases c. Accounts payable period decreases d. Operating cycle increases e. None of the above cash budget All else the same, which of the following would decrease the length of a firm's cash cycle? Consider each in isolation of one another. a. Inventory period decreases b. Accounts receivable period increases c. Accounts payable period decreases d. Operating cycle increases e. None of the above cash budget

Explanation / Answer

cash cycle= Inventory period+Accounts receivable period-Accounts payable period

Hence the correct option is A.

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