Assume That Subsidiaries X and Y of the Same MNC

Assume that Subsidiaries X and Y of the same MNC often trade with each other. Assume that Subsidiary X has excess cash while Subsidiary Y is short on cash. How can Subsidiary X help Subsidiary Y?

A) X should lag its payments sent to Y to pay for imports from Y.
B) X should request that Y lead its payments to be sent for goods that Y sent to X.
C) X should lag its payments sent to Y to pay for imports from Y AND X should request that Y lead its payments to be sent for goods that Y sent to X.
D) None of these are correct.
Answer Key