Which of the following is not a component of the operating cycle?
A)Sales to customers
B)Collection of accounts receivable
C)Recognition of depreciation
D)Purchases from suppliers

Question

Quizplus · Accepted Answer

The operating cycle includes the purchase of inventory from suppliers, the conversion of inventory into finished goods, the sale of those goods to customers, and the collection of accounts receivable. Recognition of depreciation is not a part of this cycle.

Which of the Following Is Not a Component of the Operating