Answer:
1. Yes. Cash flows are able to illustrate liquidity.
2. Recommendations
a. Reducing levels of Inventory.
b. Negotiating Longer credit settlement period with suppliers.
Explanation:
One of the uses of a Cash flow Statement is its use in negotiating loans with bank and other lenders. Of interest to these parties is the liquidity of the entity.
Liquidity is the ability of an entity to honor its short-term obligations using its current assets. Liquidity is reflected in the Cash flow from Operating Activities of the Cash flow Statement.
<u>Recommendation</u>
Companies can maintain liquidity through reducing levels of inventory. Inventory ties up cash. Negotiating longer credit settlement period with suppliers can also increase liquidity.
Answer:
Message encoding.
Explanation:
Communication can be defined as the process of conveying information from one person or location to another. Communication can also be described as the transmission of messages through signs, pictorial representation, verbal means.
Encoding can be defined as the process in which an idea is transformed in a communicable message and then transmitted through various channels such as television, radio, internet.
Message encoding involves sending messages to the receiver in comprehensible words.
Reverse Engineering<u> </u>is a term that refers to designing products based on existing designs, usually through measurement and deconstruction of an existing product.
Reverse engineering (also called back-engineering or back-engineering) attempts to understand, through deductive reasoning, how a previously manufactured device, process, system, or software could perform a task with very few resources.
The process or method of doing fulfilled (if any). Any insight on how it's done? It's basically the process of opening up a system, taking it apart, and seeing how it works to replicate or improve it.
Although the process is specific to the object being executed, all reverse engineering processes consist of three basic steps: information extraction, modeling, and verification. Information extraction refers to the method of gathering all relevant information to perform an operation.
Learn more about Reverse engineering here:
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