All of the following statements about the cash-to-cash cycle are true except:
A)It includes normal day to day operating activities, investing activities, and financing activities.
B)It includes normal buying \ selling of goods to earn profit.
C)Typical business operations involve an outflow of cash followed by an inflow of cash
D)Specific activities include purchasing inventory and selling product.

Question

Quizplus · Accepted Answer

The cash-to-cash cycle does not include investing activities or financing activities as they are separate and distinct from day to day operating activities aimed at buying and selling goods to earn a profit.

All of the Following Statements About the Cash-To-Cash Cycle Are