The normal operating cycle helps define which of the following balance sheet sections?
A) Intangible assets
B) Current assets
C) Property,plant,and equipment
D) Stockholders' equity

Question

Quizplus · Accepted Answer

The normal operating cycle refers to the amount of time it takes for a company to convert its current assets into cash, which is generally within one year. Therefore, the normal operating cycle is primarily associated with current assets on the balance sheet, such as cash, accounts receivable, and inventory.

The Normal Operating Cycle Helps Define Which of the Following