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    Principles of Corporate Finance Study Set 4
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    Exam 14: Working Capital and Management of Current Assets
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    A Firm Has an Operating Cycle of 120 Days, an Average
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A Firm Has an Operating Cycle of 120 Days, an Average

Question 121

Question 121

Multiple Choice

A firm has an operating cycle of 120 days, an average collection period of 40 days, and an averagepayment period of 30 days. The firm's average age of inventory is_________ days.


A) 70
B) 80
C) 50
D) 90

Correct Answer:

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