- CFA Exams
- CFA Level I Exam
- Topic 3. Corporate Issuers
- Learning Module 4. Working Capital and Liquidity
- Subject 1. Cash Conversion Cycle
CFA Practice Question
True or False? The operating cycle minus the cash cycle is the accounts payable period.
Correct Answer: True
The operating cycle is the sum of the cash cycle and the accounts payable period.
User Contributed Comments 4
| User | Comment |
|---|---|
| Emily1119 | Is Cash cycle equal to inventory period? |
| Qoqi | Net operating cycle |
| khalifa92 | the hidden truth omg< /br> means the cash cycle is the sum of receivables and inventory periods. |
| khalifa92 | nvm iam confused |