Which of the Following Helps to Reduce the Optimal Size

question 28

Multiple Choice

Which of the following helps to reduce the optimal size of the precautionary cash balances?

• A) Transfer pricing.
• B) Centralized cash depositary.
• C) Differential income tax rates.
• D) None of these.

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Definitions:

Payment Methods

Various ways in which transactions can be settled, including cash, credit cards, checks, and digital payments.

Government Regulations

Rules or laws established by the government to control or direct the actions of individuals, businesses, or other entities within a society.

Reliability

The degree to which an instrument, tool, or process consistently produces the same results under the same conditions.

Promotional Mix

The combination of marketing communication tools a company uses to fulfill its promotional objectives, including advertising, sales promotion, public relations, personal selling, and direct marketing.