A duty of the Treasury Department is to minimize the time it takes to process a vendor payment.

True

False

4 points

QUESTION 8

A responsibility of the Treasury Department is to ensure there is product available for customer shipments.

True

False

4 points

QUESTION 9

Industry standards often provide the best metrics to evaluate a company's performance.

True

False

4 points

QUESTION 10

Short term investments usually provide the highest interest rate.

True

False

4 points

QUESTION 11

Investment policies should always begin with the statement "The primary objective of this policy is to ensure the investments provide the highest yield".

True

False

4 points

QUESTION 12

Selling equity in a company means selling ownership shares while debt requires repayment of a loan in the future.

True

False

QUESTION 13

A cash forecast is an important tool in deciding the amount of a bank line of credit is needed.

True

False

QUESTION 14

Financial leverage means using other people's money.

True

False

QUESTION 15

Letters of Credit are used for doestic, US, transactions only.

True

False

QUESTION 16

A company that performs all the collection processes in-house not using a lock box system or other bank product has the advantage of creating an economy of scales for the collection activity.

True

False