Which of the following statements is not true of short-term financial planning?
A) The plan should consider possible shortfalls in sales or a delay in collections.
B) The plan seeks to ensure that the company will be able to meet its cash needs.
C) The planning period is typically five years.
D) The plan needs to be based on the best forecasts available.
Correct Answer:
Verified
Q22: Managers with a large surplus of cash
Q23: An increase in current liabilities is a
Q24: The planning horizon for cash budgeting is
Q25: Holdings of marketable securities are at worst
Q26: Which of these events reduces cash holdings?
A)
Q28: Many high tech firms hold large amounts
Q29: An increase in accounts payable is a
Q30: If a firm's customers on average take
Q31: A company that matches maturities will generally
Q32: The short-term financial plan sets out a
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