If it takes 30 days to sell inventory,60 days to collect for the sale,and creditors' terms are 10 days,the financing period is 80 days.

Name: If it takes 30 days to sell inventory,60 days to collect for the sale,and creditors' terms are 10 days,the financing period is 80 days.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The financing period is the sum of the inventory conversion period (30 days), accounts receivable collection period (60 days), and accounts payable deferral period (10 days), which equals 100 days.

If It Takes 30 Days to Sell Inventory,60 Days to Collect