Selling inventory slower will shorten the cash cycle.

Cash Cycle

Refers to the amount of time it takes for a company to convert its investments in inventory and other resources into cash flows from sales.

Selling Inventory

The process of selling goods and products that a company holds in stock, often a major revenue source.

Gain insight into the components and value of the cash cycle in commercial operations.

Verified Answer

Final Answer :

False

Explanation :

Selling inventory slower will lengthen the cash cycle because it takes more time to convert inventory into cash.

Learning Objectives

Gain insight into the components and value of the cash cycle in commercial operations.