The primary reason that managers impose a minimum cash balance in the cash budget is

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The primary reason that managers impose a minimum cash balance in the cash budget is to protect the organization from the uncertainty of the budgeting process. This is because there may be unexpected expenses or fluctuations in revenue, and having a minimum cash balance ensures that the organization has enough liquidity to cover these expenses without having to rely on external financing. It is a precautionary measure to ensure the financial stability of the organization.

The Primary Reason That Managers Impose a Minimum Cash Balance