Which of these is a principle of good cash management?

Question

Quizplus · Accepted Answer

Investing surplus cash is a principle of good cash management. Keeping inventory at a level where no item required by a customer is ever out of stock is a principle of good inventory management, not cash management. Paying creditors before the due date can put a strain on cash flow and is not always necessary. Offering large cash discounts to debtors to pay within 30 days may encourage prompt payment, but it can also reduce revenue and profitability.

Which of These Is a Principle of Good Cash Management