Teaching EMRS Accountant Mock Test 2023 Accounting and Auditing Cost and Management Accounting Operating Cycle
Assertion (A): Operating cycle of business signifies the time required by the company's operations to convert it into cash
Reason (R): The operating cycle of the service industry is smaller than the operating cycle of manufacturing industries.
1
(A) is correct but (R) is incorrect.
2
(A) is incorrect but (R) is correct
3
Both (A) and (R) are correct and (R) is the right explanation of (A)
4
Both (A) and (R) are correct but (R) is not the right explanation of (A)