It is generally not the duty of financial managers to ensure that a firm has the cash it needs for day-to-day transactions.

Question

Quizplus · Accepted Answer

It is the duty of financial managers to ensure that a firm has the necessary cash flow to meet its daily expenses and obligations. This is a critical aspect of the financial management function, as insufficient cash flow can lead to liquidity problems, missed payments, and ultimately, bankruptcy. Therefore, financial managers must carefully monitor the firm's cash flows and make strategic decisions about cash management, investment, and financing to ensure that the firm maintains sufficient liquidity at all times.

It Is Generally Not the Duty of Financial Managers to Ensure