Which of the Following Is the Best Definition of Cash

question 212

Multiple Choice

Which of the following is the best definition of cash budget?

• A) The time between receipt of inventory and payment for it.
• B) A secured short-term loan that involves either the assignment or factoring of receivables
• C) The time between sale of inventory and collection of the receivable.
• D) Costs that rise with increases in the level of investment in current assets.
• E) A forecast of cash receipts and disbursements for the next planning period.

---

Definitions:

Synovial Joint

A type of joint that is surrounded by a fluid-filled capsule, allowing for smooth movement between bones.

Periosteum

A dense, fibrous membrane covering the outer surface of bones, providing nourishment and involved in bone growth and repairing.

Synovial Cavity

A fluid-filled space that exists between bones that are encapsulated by a synovial membrane, aiding in smooth movement of the joints.

Articular Surfaces

The surfaces of bones that come into contact with one another to form joints, often covered with cartilage to reduce friction.