One Way a Firm Can Reduce the Amount of Cash

question 133

Multiple Choice

One way a firm can reduce the amount of cash it needs in any one month is to

• A)speed up the collection of receivables
• B)delay the payment of wages
• C)delay the payment of taxes
• D)delay the payment of payables
• E)all of the above

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Definitions:

Earnings At Risk

Potential future losses in wages or salary due to various risk factors, including economic downturns, organizational changes, or personal performance issues.

Incentive Pay

Additional compensation awarded to employees for achieving specific goals, exceeding performance targets, or exceptional work.

Merit Pay

A pay increase given to employees based on their job performance, used as a motivational strategy by employers.

Multicultural Workforce

A diverse team of employees from various cultural backgrounds, enhancing creativity and problem-solving through different perspectives.