The target cash balance is the difference between total cash receipts and total cash disbursements.

Name: The target cash balance is the difference between total cash receipts and total cash disbursements.
Brand: Quizplus
Rating: 4.8 (44 reviews)

Question

Quizplus · Accepted Answer

The target cash balance is the minimum cash balance that a company wants to maintain in order to ensure that it has enough cash to meet its cash needs. It is not based on the difference between total cash receipts and total cash disbursements.

The Target Cash Balance Is the Difference Between Total Cash