Which one of the following is a use of cash?

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FIN $215$ Take Home Exam $5$

A$)$ Selling inventory at cost

B$)$ Paying a supplier for inventory you purchased last month

C$)$ Borrowing money from a local bank

D$)$ Collecting payment from a customer

E$)$ Selling a fixed asset such as a piece of machinery

Which of the following are sources of cash?

$1.$Decreasing accounts receivable

$2.$Increasing inventory

$3.$Increasing accounts payable

$4.$Increasing common stock

A$)$ I and III only

B$)$ II and IV only

C$)$ II and III only

D$)$ I and IV only

E$)$ I, III, and IV only

Which one of these will increase the operating cycle?

A$)$ Decreasing the days' sales in inventory

B$)$ Decreasing the accounts payable period

C$)$ Increasing the accounts receivable turnover rate

D$)$ Decreasing the inventory turnover rate

E$)$ Decreasing the accounts payable turnover rate

Which one of the following will increase the operating cycle?

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FIN $215$ Take Home Exam $5$

A$)$ Decreasing the accounts payable period

B$)$ Increasing the accounts payable turnover rate

C$)$ Increasing the cash cycle

D$)$ Decreasing the accounts receivable turnover rate

E$)$ Decreasing the inventory period

Which one of the following actions will decrease the operating cycle?

A$)$ Increasing inventory

B$)$ Paying suppliers faster

C$)$ Paying for more inventory with cash rather than credit

D$)$ Granting customers more time to pay for their credit purchases

E$)$ Lessening the production time needed to manufacture a good for sale