Which of the Following Is TRUE of the Impact of Cash

question 224

Multiple Choice

Which of the following is TRUE of the impact of cash flows on net working capital?

• A)The higher the cash inflows lower is the net working capital.
• B)The lower the cash outflows lower is the net working capital.
• C)The more predictable the cash inflows of a firm,the more current assets a firm needs.
• D)The more predictable the cash inflows of a firm,the easier is the working capital management.

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Definitions:

Human Resource Management

The strategic approach to the effective management of people in a company or organization so that they help the business gain a competitive advantage.

Mergers And Acquisitions

The process of consolidating companies or assets, where 'mergers' is the combination of companies and 'acquisitions' is one company taking over another.

Effective

Achieving desired outcomes or goals with the least waste of time and effort; efficiency in action or use.

Excise Tax

A tax charged on specific goods and services, such as alcohol, tobacco, and fuel.