Firms hold cash balances in order to complete transactions (both routine and precautionary)that are necessary in business operations and as compensation to banks for providing loans and services.
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Q13: The overriding goal of inventory management is
Q14: The concept of permanent current operating assets
Q15: An increase in any current asset must
Q16: Although short-term interest rates have historically averaged
Q17: A conservative current operating asset financing approach
Q19: Net working capital, defined as current assets
Q20: Other things held constant, if a firm
Q21: If a firm's suppliers stop offering discounts,
Q22: If a firm busy on terms of
Q23: "Stretching" accounts payable is a widely accepted,
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