Which of the following would not be a short-run operating activity or decision?
A) Buying raw materials with cash or bank loan.
B) Selling product on credit.
C) Increasing inventory safety stock.
D) Investing a new process machine.

Question

Quizplus · Accepted Answer

Investing in a new process machine is considered a long-term investment decision rather than a short-run operating activity. Short-run operating activities typically involve day-to-day operations such as purchasing raw materials, selling products, and managing inventory, rather than long-term investments in capital assets.

Which of the Following Would Not Be a Short-Run Operating