chrisbillakings Asked: May 21, 2020 In: Financial Analysis Operating cycle 1k What is operating cycle and how is it calculated? operating cycle Share Facebook You must be logged in to Answer this question! kindly login here or sign up here 1 Answer Voted Solutionwheels Best Answer 2020-05-22T01:04:02+00:00 Added an answer on May 22, 2020 at 1:04 am V Operating cycle is the average times between buying an inventory and receiving cash proceeds from its sales. It is calculated by: Operating Cycle = Days Inventory + Days Receivable Deleted
Operating cycle is the average times between buying an inventory and receiving cash proceeds from its sales.
It is calculated by:
Operating Cycle = Days Inventory + Days Receivable