Identify which of the following is NOT a strategy for managing cash flow.*1 pointEnsuring that the business has more long-term assets such as land and buildingsArranging readily available short-term loans and a bank overdraftHiring accounts receivable staff to ensure that customers are paying the full amount on timeKeeping track of money that is owed to the business and chasing up outstanding debts

Select all that applyWhich of the statements below describe the goals and principles of cash management?Multiple select question.Plan cash receipts to meet cash payments when due.Encourage quick collection of receivables.Keep a minimum level of cash necessary to operate.Excess cash should be kept on hand to pay bills.Money should be spent only when it is available.Encourage quick payment of liabilities.

Shortage of cash requiring corrective actions to avoid issues.Select the correct termCash-flow ProjectionMismanagementCash-Flow ProjectionCash-Flow Deficit

Which of these is a warning sign of problems in managing cash flows?Group of answer choicesProceeds of borrowings that are continually greater than repayments of borrowings.All are warning signs.Cash flow from operating activities that is significantly lower than profit.Dividends paid to shareholders that are greater than profit.

Cash flow from operations examines the:Group of answer choicesimpact of selling or acquiring current and fixed assetsrevenues, interest and dividends from investments held by the business.leasing, licensing, and rental agreements of the operations conducted by the business.increase or decrease in the short- and long-term debt position of the firm. PreviousNext

Outline one reason why businesses should prepare cash flow forecasts.