Controlled Disbursing ________

question 201

Multiple Choice

Controlled disbursing ________.

• A) reduces a firm's average collection period
• B) is a popular technique for effectively managing inventory to keep its level low
• C) is a popular technique for increasing payment float
• D) reduces a firm's average payment period

---

Definitions:

Vertical Analysis

An analysis that compares each item in a current statement with a total or key amount within the same statement.

Financial Statements

Financial reports that summarize the effects of events on a business.

Horizontal Analysis

Financial analysis that compares an item in a current statement with the same item in prior statements in terms of the amount and percentage of change.

Base Year

A specific year chosen as a point of comparison for financial or economic data over time.