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Which of the Following Is an Effective Cash Management Practice

Question 108

Multiple Choice

Which of the following is an effective cash management practice?


A) Short-term investments are sold with excess cash to maximize interest-earning potential.
B) Receipts are delayed as long as possible to maximize interest-earning potential.
C) Payments are expedited to simplify record keeping.
D) Receivables are retained to minimize the costs associated with accounting for customer accounts and servicing delinquent accounts.

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