International cash management systems are more complex than domestic cash management systems because
A) many developing countries still use a cash payments system.
B) some countries rely on electronic funds transfer more than Canada.
C) liquidity management, managed across international boundaries is subject to the risks of currency fluctuations.
D) none of the other answers are correct

Question

Quizplus · Accepted Answer

International cash management systems involve managing liquidity across multiple currencies and countries, which introduces the risk of currency fluctuations. This complexity is not present in domestic cash management systems. Option A is not necessarily true, as many developing countries are rapidly adopting electronic payment systems. Option B is not necessarily true either, as Canada has a highly advanced electronic payment infrastructure. Option D is incorrect because there is a correct answer.

International Cash Management Systems Are More Complex Than Domestic Cash