1. In the cash-to-cash cycle calculation, if the cost of goods sold per day increases, but all other data such as average inventory and average payables and receivables remain the same, then the value of cash-to-cash cycle will:

A. go down

B. go up

C. stay the same

D. May go up or down, but cannot tell without more information

2. Transaction processing is real-time means (choose the most appropriate answer)?

A. An inventory receipt will show up as soon as it is received, but it could be in the pending approval category.

B. A production batch completion will be transmitted to all appropriate tables as soon as it is entered.

C. A customer could call into the order desk to know the status of the order

D. A customer could know the status of his or her balance with the firm as soon as he/she mails the check.

E. A, B and C only.