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ira [324]
2 years ago
6

Determine whether each policy below is good or bad cash management; then identify the cash management strategy violated or follo

wed for each policy.
a. The company regularly follows up with customers who pay late.
b. Excess cash is put into short-term investments to earn extra income.
c. Cash receipts and cash payments are regularly planned and reviewed.
d. Rarely used equipment is rented rather than purchased.
e. Bills are paid as soon as they are received.
Business
1 answer:
sertanlavr [38]2 years ago
6 0

Answer: Please refer to Explanation.

Explanation:

a. The company regularly follows up with customers who pay late.

This is GOOD.

Cash Management Strategy - Collection of Accounts Receivables on time to maintain cash balance.

b. Excess cash is put into short-term investments to earn extra income.

This is GOOD.

Cash Management Strategy - Earning extra income on idle cash by investing in short-term liquid investments.

c. Cash receipts and cash payments are regularly planned and reviewed.

This is GOOD.

Cash Management Strategy - Cash Planning to establish a correct balance between payments and receipts.

d. Rarely used equipment is rented rather than purchased.

This is GOOD

Cash Management Strategy - Saving money by spending economically only when needed.

e. Bills are paid as soon as they are received.

This is BAD

Cash Management Strategy - Paying bills when due to ensure that operating cash balance is maintained at a healthy level.

If you need any clarification do comment.

Cheers.

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According to Piaget, children in the preoperational stage are able to Group of answer choices reason abstractly and test hypothe
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Answer:

represent objects with words and images

Explanation:

The preoperational stage occurs is the second stage of Piaget's theory of Cognitive Development. Here, the child becomes familiar with the use of symbols. This also helps in the development of the child's language skills.

The child starts to understand the concept of thinking. This is known as meta-cognition. The ability of the child to represent objects with words and images is integral in the learning and use of language.

Hence, the answer is represent objects with words and images.

5 0
3 years ago
If the signaling theory of education is correct;
Snezhnost [94]

Answer:

C. workers with more years of formal schooling are less likely to be affected by ability, effort, and chance.

Explanation:

The <em>signalling theory in education</em> tells us that employees send "signals" to their employees regarding their education. In other words, employers are willing to pay higher wages to employees with additional years of formal schooling.

This means these qualified workers have their wage primarily defined by their education level, which does not always reflect their true skill-set (the output of ability and effort).

5 0
2 years ago
At the beginning of the year, a firm has current assets of $328 and current liabilities of $232. At the end of the year, the cur
GarryVolchara [31]

Answer:

$125

Explanation:

Computation for the change in net working capital

Using this formula

Change in net working capital =( Ending Current asset- Ending Current liabilities) - (Beginning Current asset- Beginning Current liabilities)

Let plug in the formula

Change in net working capital =

($493 – $272) – ($328 – $232)

Change in net working capital = $221-$96

Change in net working capital =$125

Therefore the Change in net working capital will be $125

5 0
3 years ago
Suppose you observe the following situation: Security Beta Expected Return Pete Corp. 1.45 .155 Repete Co. 1.14 .128 Assume thes
balu736 [363]

Answer:

Expected return on the market = 11.58%

Explanation:

MRP = Market risk premium

RFR = Risk free rate

ERM = Expected return on market

MRP = \frac{0.155-0.128}{1.45-1.14}=\frac{0.027}{0.31}= 0.0871

MRP = 8.71%

RFR = 0.155 - (1.45*0.0871) = 0.155 - 0.126295 = 0.0287

RFR = 2.87%

ERM = MRP + RFR = 8.71% + 2.87%

ERM = 11.58%

Hope this helps!

3 0
3 years ago
You are offered the opportunity to put some money away for retirement. You will receive five annual payments of $25,000 each beg
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Answer:

19k

Explanation:

8 0
3 years ago
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