Because cash earns no interest,firms engage in multinational cash management to use this liquid resource as efficiently as possible.

Question

Quizplus · Accepted Answer

This statement is true. Cash earns no interest, which is why firms engage in multinational cash management to find ways to use this liquid resource efficiently. This can involve techniques such as centralizing cash management, using notional pooling, or investing excess cash in high-yielding instruments.

Because Cash Earns No Interest,firms Engage in Multinational Cash Management