Which of the following statements regarding the operating cycle of a merchandising company is not true?
A. The operating cycle can vary in length among different merchandising companies.
B. The operating cycle is shortened by credit sales.
C. The operating cycle ends with the collection of cash from the sale of merchandise.
D. The operating cycle sometimes involves accounts receivable.
E. The operating cycle begins with the purchase of merchandise.
Answer: B
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Offering financial incentives to channel members in order to motivate them to make a purchase is a:
A) trade allowance B) trade incentive C) trade contest D) vendor support program
Which of the following provides that all assets acquired during a marriage, other than gifts and
inheritances, belong equally to the two spouses? A) Joint tenancy B) Tenancy by the entirety C) Community property law D) Marital partnership laws E) Spousal equality laws
Financial capital refers to the:
A. money that a business earns in sales, minus the expenses. B. costs a business incurs when its expenses are greater than its revenues. C. funds a firm uses to acquire its assets and finance its operations. D. returns that a firm pays its owners for their investments in the company.
Which of the following types of liability does a limited partner of a limited partnership have for the debts and obligations of the limited partnerships?
A. unlimited personal liability B. liability restricted to the extent of his or her capital contribution C. liability of termination as partner D. unlimited organizational capital liability