Which of the Following Practices Contributes to Efficient Cash Management

question 164

Multiple Choice

Which of the following practices contributes to efficient cash management?

• A) Never borrow money-maintain a cash balance sufficient to make all necessary payments.
• B) Record all cash receipts and cash payments at the end of the month when reconciling the bank statements.
• C) Prepare monthly forecasts of planned cash receipts, payments and anticipated cash balances up to a year in advance.
• D) Pay each bill as soon as the invoice arrives.

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Definitions:

Multinational Corporations

Large business organizations that operate in multiple countries, often exerting significant economic and political influence in the global market.

Authoritarian Governments

Political systems characterized by strong central power and limited political freedoms, where dissent is often not tolerated and control is maintained through various means.

Japanese Colonialism

The period of history when Japan expanded its empire by annexing territories in Asia and the Pacific, from the late 19th century to the mid-20th century.

Transportation Networks

Systems comprised of roads, railways, airports, and waterways that facilitate the movement of people and goods.