A firm whose sales fluctuate widely over a relatively short time might require a ________ cash budget.
A)weekly
B)monthly
C)quarterly
D)biweekly

Question

Quizplus · Accepted Answer

A firm with fluctuating sales over short periods of time would need a cash budget that is updated more frequently to accurately reflect changes in cash flows. A weekly cash budget would provide a more accurate picture of cash inflows and outflows, enabling the firm to make informed decisions regarding cash management. Monthly and quarterly budgets would not capture the necessary level of detail or responsiveness to changes in sales patterns. Biweekly could be an option, but weekly is still the more frequent and accurate choice.

A Firm Whose Sales Fluctuate Widely Over a Relatively Short