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What is the difference between delivery cycle time and throughput time? What four elements make...

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What is the difference between delivery cycle time and throughput time? What four elements make up throughput time? What elements of throughput time are value-added and what elements are non-value-added?

Inventory

Inventory refers to the list of products and items of business that are ready for sale. There are various inventories available namely raw-materials, work-in-progress and finished goods which form an essential part of an asset in a business.

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Delivery cycle time is the time when a client issued the order before the finished goods are delivered. Throughput time is the period from the start...

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Operating Cycle in Accounting: Definition & Formula

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Chapter 22 / Lesson 42
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An operating cycle consists of lead time, production time, sales time, delivery time, and cash-collection time. Learn the definitions of the parts of the operating cycle, how long the operation cycles are for different industries, and the formula used for calculating the operating cycle in accounting.


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