The basic strategies that should be employed by the business firm in managing cash include all of the following EXCEPT
A)paying accounts payable as late as possible without damaging the firm's credit rating.
B)turning over inventory as quickly as possible while avoiding stock outs.
C)collecting accounts receivable as quickly as possible without damaging customer relationships.
D)all of the above

Question

Quizplus · Accepted Answer

All of the strategies listed (A-C) should be employed by the business firm in managing cash. Ignoring any of these strategies can lead to unnecessary cash flow problems or missed opportunities to improve cash position. Therefore, (D) is the correct answer.

The Basic Strategies That Should Be Employed by the Business