$8\mathrm{.}4$ Statement Presentation and Management of Receivables

To have an operating cycle of $30$ days means it takes, on average, about $30$ days to

purchase inventory on account and sell it on credit.

purchase inventory on account and then collect cash from selling it$.$

go from the cash outflow from buying inventory to the cash inflow from selling it on account and receiving payment.

sell an item on credit and collect the account.