If Abrams Company has an inventory turnover of 7.3 and a receivables turnover of 9.6. approximately how long is its operating cycle?
a. 95 days c. 72 days
b. 88 days d. There is not enough information to
calculate the operating cycle.
The length of operating cycle.
Given Information:
Inventory turnover ratio = 7.3
Receivables turnover ratio = 9.6
Calculation:
Operating Cycle = Inventory period + Accounts receivable period
Inventory period = 365 days/ Inventory turnover ratio
= 7...
Financial & Managerial Accounting
Corporate Financial Accounting
Accounting Information Systems
Principles of Economics (MindTap Course List)
Principles of Macroeconomics (MindTap Course List)
ECON: MICRO4 (New, Engaging Titles from 4LTR Press)
Essentials of Business Communication (MindTap Course List)
STATISTICS F/BUSINESS+ECONOMICS-TEXT
Fundamentals of Financial Management (MindTap Course List)
Brief Principles of Macroeconomics (MindTap Course List)
ECON MICRO
Fundamentals of Financial Management, Concise Edition (MindTap Course List)
Foundations of Business (MindTap Course List)
Probability and Statistics for Engineering and the Sciences
Principles of Microeconomics (MindTap Course List)
Fundamentals Of Financial Management, Concise Edition (mindtap Course List)
Financial And Managerial Accounting
Principles of Information Systems (MindTap Course List)
Fundamentals of Information Systems
Principles of Information Security (MindTap Course List)
Database Systems: Design, Implementation, & Management
A Guide to SQL
Database Systems: Design, Implementation, & Management
Fundamentals of Information Systems
Fundamentals of Geotechnical Engineering (MindTap Course List)
Engineering Fundamentals: An Introduction to Engineering (MindTap Course List)
Principles of Information Systems (MindTap Course List)
Precision Machining Technology (MindTap Course List)
Automotive Technology: A Systems Approach (MindTap Course List)
Mechanics of Materials (MindTap Course List)
Management Of Information Security
Systems Analysis and Design (Shelly Cashman Series) (MindTap Course List)
EBK ELECTRICAL WIRING RESIDENTIAL
Fundamentals of Chemical Engineering Thermodynamics (MindTap Course List)
International Edition---engineering Mechanics: Statics, 4th Edition
Electric Motor Control
Solid Waste Engineering
Principles of Geotechnical Engineering (MindTap Course List)
Automotive Technology
Steel Design (Activate Learning with these NEW titles from Engineering!)
Enhanced Discovering Computers 2017 (Shelly Cashman Series) (MindTap Course List)
Network+ Guide to Networks (MindTap Course List)