The first step in the working capital cycle process is to
A) order inventory.
B) purchase or produce inventory for sale.
C) receive inventory.
D) sell the inventory for cash or credit.

Question

Quizplus · Accepted Answer

The first step in the working capital cycle process is to purchase or produce inventory for sale. This is because working capital cycle refers to the length of time it takes for a business to turn its current assets into cash, which starts with acquiring inventory to sell.

The First Step in the Working Capital Cycle Process Is