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.

---

Definitions:

Confirmation Bias

The inclination to find, understand, prioritize, and recollect information that supports one's existing views or assumptions.

Laziness

A lack of motivation or desire to act or exert effort, often leading to inactivity or procrastination.

Older Workers

Employees in the workforce who are typically aged 55 years and older, often facing unique challenges and opportunities in their careers.

Fixation

A psychological concept referring to an obsessive focus or attachment to someone or something, often stemming from unresolved developmental issues.