Question

A business would like to invest in a new product, but they are short on extra cash for such purposes. They are in a good position as a business, though: Their employee costs are average, their market share is relatively high, and they have enough inventory on hand to last for months. What would be one good solution if they want to find extra cash for the new product?
A. Liquidate some inventory to increase cash flow.
B. Cut wages for all employees.
C. Raise prices on their inventory even if it takes longer to sell it
D. fire at least one employee

Answer 1

Your answer is
A.
Liquidate some inventory to increase cash flow