Efficient management of cash includes which of the following concepts?
A)Pay each bill as soon as the invoice is received.
B)Deposit all cash receipts and make all cash disbursements at the end of each week.
C)Prepare a control listing of cash receipts at the time and place the money is received.
D)Pay suppliers in cash out of cash sales receipts before depositing them in the bank.

Question

Quizplus · Accepted Answer

Preparing a control listing of cash receipts at the time and place the money is received helps to efficiently manage cash by keeping track of the inflow of cash and reducing the risk of errors or misplacing funds. Paying bills as soon as the invoice is received may not be efficient if there are cash flow constraints, and depositing all cash receipts and making disbursements at the end of each week may lead to delays or missed opportunities. Paying suppliers in cash out of cash sales receipts before depositing them in the bank may also lead to cash flow problems and potential accounting issues.

Efficient Management of Cash Includes Which of the Following Concepts