All of the following are ways to reduce coping with uncertainty in the cash budget EXCEPT

Question

Quizplus · Accepted Answer

Always using the prior year's data for estimates of the future would not be an effective way to reduce coping with uncertainty in the cash budget because it does not take into account any changes or new factors that may affect cash flows in the upcoming year. A careful estimation of cash budget inputs, developing a probability distribution of ending cash flows, and using scenario analysis are all effective ways to reduce coping with uncertainty in the cash budget.

All of the Following Are Ways to Reduce Coping with Uncertainty