Sorry, what does this mean?
Answer: 30 days
Explanation: Cash cycle refers to the amount of time it takes for a business from paying cash to its suppliers for raw materials and receiving cash from its customers fro the sales made.
Hence from the above we can say that :-
decrease in inventory will decrease the cycle.
Decrease in receivables will decrease the cycle.
decrease in payables will increase the cycle.
Thus,
cash cycle = 31 days - 2 days + 4 days - 3 days
= 30 days
Answer:
Revenue recognition
Explanation:
Correct word for the given statement is Revenue recognition
Revenue recognition is a proper accounting rule (GAAP) that distinguishes the particular conditions wherein income is perceived and decides how to represent it. Normally, income is perceived when a basic occasion has happened, and the dollar sum is effectively quantifiable to the organization.
Answer:
The answer is: B) The financial firms are too big to fail.
Explanation:
President George W. Bush thought this way when he approved the bailouts of several banks which he considered TOO BIG TO FAIL. It simply means that since financial firms are so deeply mingled together, if more big banks continue to go bankrupt, the whole financial system would collapse. That would only lead to a deeper recession.
President Barack Obama used the same logic when he bailed out General Motors and Chrysler. He thought that if those car companies stopped working, then a major portion of the country's whole manufacturing system would collapse.
