Accounting Quiz or Test Your Accounting Knowledge On The Operating Cycle and Working Capital Ratios
Refresh or test your accounting knowledge on The Operating Cycle and Working Capital Ratios :
| QUESTIONS:
1.0 What is the “ cash cycle” 2.0 What is:- (a) a finished goods stock turnover period? (b) a debtors turnover period How are they calculated? 3.0 A lengthening of the cash cycle will result in a smaller volume of working capital. True or false? 4.0 Define:- (a) the current ratio (b) the quick ratio 5.0 A decrease in creditors has the effect of increasing the cash balance. True or false?
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