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tino4ka555 [31]
2 years ago
14

Does increasing average payment period decrease operating cycle

Business
1 answer:
Aleksandr-060686 [28]2 years ago
3 0

Yes , the  increasing average payment period decreases the operating cycle

All small business owners know the importance of liquidity-have enough cash on hand to pay the bills. For this reason, business owners and managers monitor the cash conversion cycle. This shows how quickly companies are moving from paying inventory to receiving cash for sold inventory. An important factor in calculating a company's cash conversion cycle is the accounts payable period. The longer the period, the shorter the cycle.

The cash conversion cycle can be calculated using the data readily available on the company's balance sheet and income statement. It has three components. "Inventory days". On average, it indicates how long a product remains in stock before it is sold. "Accounts receivable days" or A / R days. This shows how long it takes a customer to pay an invoice. "Vendor date" or A / P date.

Learn more about Business  here: brainly.com/question/24448358

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Answer:

Explanation:

If the government changes taxes without changing government spending to eliminate the recessionary gap, will the minimum required change in taxes be greater than, smaller than, or equal to the minimum required change in government spending?

The minimum required change in taxes will be greater than that of the minimum required change in government spending

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3 years ago
On January 1, 2017, Hannigan Company issued bonds with a face value of $600,000. The bonds carry a stated interest of 7% payable
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Answer:

Explanation:

The journal entries are shown below:

Cash A/c Dr $582,000            ($600,000 × 0.97)

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(Being the issuance of the bond is recorded and the remaining balance is debited to the discount on bond payable account)

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(Being the issuance of the bond is recorded and the remaining balance is credited to the premium on bond payable account)

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3 years ago
What is bigger 9 yd or <br>324 in​
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9 yards is 324 inches so they are equal.
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So, Melanie needs to create a table of contents, so her readers will be able to find specific sections after glancing at it.

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B

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