Advertising

Operating cycle

• The average time intervening between the acquisition of materials or services and the final cash realization from those acquisitions.

• Abbreviated OC. The amount of time that elapses from the point at which the firm begins to build inventory to the point at which cash is collected from sale of the resulting finished product. The recurring transition of a firm's working capital from cash to inventories to receivables and back to cash.

 
 Embedded terms in definition
 Average
Capital
Cash
Firm
Inventories
Inventory
Point
Receivables
Sale
Time
Working capital
 
 Related Terms
 

<< Operating change restrictions Operating expenses >>

Helping Disabled or Elderly Relatives With Money Management, Even From Far Away: Millions of people serve as financial caregivers for ill or elderly spouses, parents, children or other loved ones. They perform services that include paying bills, handling deposits and investments, filing insurance claims and preparing taxes. Because this role can be costly and physically and emotionally exhausting, especially for a caregiver who lives far away or has the usual time-demands, FDIC Consumer News offers some suggestions. More...

Peace cannot be kept by force. It can only be achieved by understanding. Albert Einstein

Advertising



Copyright 2009-2019 GVC. All rights reserved.