Cash management primarily involves:

a. optimizing the collections and disbursements of cash.

b. maximizing the income earned on cash reserves.

c. reconciling a company's book balance with its bank balance.

d. determining the optimal level of liquidity that should be maintained.

Question

Karly Glenn

Business

19 July, 22:48

Cash management primarily involves:

a. optimizing the collections and disbursements of cash.

b. maximizing the income earned on cash reserves.

c. reconciling a company's book balance with its bank balance.

d. determining the optimal level of liquidity that should be maintained.

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Answers (1)

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Rachel Kent · Answer 1

D

Explanation:

Determinig the optimal level of cash is one of the most important decisions a financial agent must make, the reason of the financial analysis is discover the optimal level of cash because many of the liquidity indicator are based in the amount of cash and this is important to know if the company can face their debts especially in the short term.

Cash management primarily involves:a. optimizing the collections and disbursements of cash.b. maximizing the income earned on cash reserves.c. reconciling a company's book balance with its bank balance.d. determining the optimal level of liquidity that should be maintained.

Cash management primarily involves:

a. optimizing the collections and disbursements of cash.

b. maximizing the income earned on cash reserves.

c. reconciling a company's book balance with its bank balance.

d. determining the optimal level of liquidity that should be maintained.