Scenario 8-1. Dea's Drugstore is currently having cash-flow problems. As the bills come due, Dea is having more difficulty ensuring that there is sufficient cash to pay those bills. It is a relatively new problem for her business, and she is not sure what to do. The only changes that she is aware of are some new requirements in the way insurance companies are reimbursing their customers for prescription drugs. Overall, inventory in the store is moving as usual and expenses have not increased from last year.
-In Scenario 8-1, all but which of the following tools may help Dea with her cash flow problem?
A) a cash budget
B) micro-aging schedule
C) macro-aging schedule
D) an income statement

Question

Quizplus · Accepted Answer

An income statement provides a summary of revenues, expenses, and profits over a specific period, but it does not directly address cash flow management or timing issues related to cash inflows and outflows, which is Dea's main concern.