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What likely effect will each of the following have on the cash cycle? a.The inventory turnover falls from 80 to 60 days. Likely longer or
What likely effect will each of the following have on the cash cycle?
a.The inventory turnover falls from 80 to 60 days.
Likely longer or Likely shorter?
b. Customers are given a larger discount for cash transactions.
Likely longer or Likely shorter?
c. The firm adopts a policy of reducing accounts payable.
Likely longer or Likely shorter?
d. The firm starts producing more goods in response to customers advance orders instead of producing ahead of demand.
Likely longer or Likely shorter?
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