The average length of time it takes for a retail business to acquire inventory, sell it to its customers and collect the cash owing is called the:

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The operating cycle refers to the time it takes for a retail business to acquire inventory, sell it to its customers, and collect the cash owing. It typically starts with the purchase of inventory and ends with the collection of cash from customers, and it can vary in length depending on the nature of the business and its customer base. The accounting cycle refers to the process of recording and reporting financial transactions, while inventory turnover is a ratio that measures how efficiently a company is managing its inventory. The accounting period refers to the time period during which financial statements are prepared and covers a set number of months.

The Average Length of Time It Takes for a Retail