Which of the following is the best definition of cash flow time line?

A) The time between cash disbursement and cash collection.
B) Graphical representation of the operating cycle and the cash cycle.
C) A promise by the firm, included in the debt contract, to perform certain acts. A restrictive covenant imposes constraints on the firm to protect the interests of the debtholder.
D) A secured short-term loan to purchase inventory.
E) The time it takes to acquire and sell inventory.

Cash Flow Time Line

A visual representation that maps out all cash inflows and outflows of a project or investment over time.

Operating Cycle

The period from when a company acquires inventory to when it collects cash from the sale of that inventory, indicating the efficiency of a company's operations.

Restrictive Covenant

A clause in a contract which restricts the actions of parties to the contract for the benefit of other parties to the contract or to protect the value of a related asset.