The first step in efficient cash management is the development of a ____.

Question

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Developing a cash budget is the first step in efficient cash management. A cash budget forecasts the expected inflows and outflows of cash over a certain period of time and helps businesses to plan and manage their cash flow effectively. This allows for better decision making and helps to avoid cash shortages or surpluses. A liquid asset balance, proforma cash flow statement, and compensating spreadsheet may be useful in cash management, but developing a cash budget is the first step.

The First Step in Efficient Cash Management Is the Development