Which of the Following Firms Would Be Expected to Need

question 5

Multiple Choice

Which of the following firms would be expected to need the most cash to conduct its daily operations?

• A) a retail grocery store that sells on a cash only basis
• B) an electronics manufacturer that only assemble its goods once they have been paid for
• C) an airline that has many of its fares pre-paid by cash or credit card
• D) an aircraft manufacturer with large inventory and long development and sales cycles

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