Which of the Following Statements Is NOT CORRECT

question 23

Multiple Choice

Which of the following statements is NOT CORRECT?

• A) credit policy has an impact on working capital because it influences both sales and the time before receivables are collected.
• B) the cash budget is useful to help estimate future financing needs, especially the need for short-term working capital loans.
• C) if a firm wants to generate more cash flow from operations in the next month or two, it could change its credit policy from 2/10 net 30 to net 60.
• D) managing working capital is important because it influences financing decisions and the firm's profitability.
• E) a company may hold a relatively large amount of cash and marketable securities if it is uncertain about its volume of sales, profits, and cash flows during the coming year.

Recognize the principles of proactive human resource management and its impact on organizational effectiveness.

Identify the challenges and opportunities presented by automation and technological advances in the workplace.

Understand the concepts of functional, line, and staff authority within an organization.

Comprehend strategies for fostering a creative and innovative organizational culture.

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Definitions:

Fundamental Attribution Error

The tendency to overemphasize personality-based explanations for behaviors observed in others while underestimating the influence of situational factors.

Individualism

A cultural or philosophical outlook that emphasizes the moral worth of the individual and the importance of independence and self-reliance.

Collectivism

A cultural value that emphasizes the importance of groups and collective action over individual achievement or identity.

Actor-Observer Effect

A social psychology phenomenon where people tend to attribute their own actions to situational factors, but others' actions to their personality or character.