13. True and false Sales revenue is used to develop accounts payable days.

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Question

13. True and false Sales revenue is used to develop accounts payable days.

13. True and false

Sales revenue is used to develop accounts payable days.

business finance

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Answer 1

Answer #1

FALSE

Sales revenue is not used to develop accounts payable days. Rather sales revenue is used to develop accounts receivable days. Both accounts receivable days and accounts payable days are given by:

Accounts receivable days = 365 * Average accounts receivable / Sales revenue

Accounts payable days = 365 * Average accounts payable / Cost of goods sold.

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Answer 2

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13. True and false Sales revenue is used to develop accounts payable days.

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The cash operating cycle can be computed as ________. A.days accounts payable outstanding + days sales...

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13. True and false Sales revenue is used to develop accounts payable days.

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Add Answer to: 13. True and false Sales revenue is used to develop accounts payable days.

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