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How would a shift from a tight credit policy to a relaxed policy be likely to affect a firms cash budget? Suppose a firms cash

How would a shift from a tight credit policy to a relaxed policy be likely to affect a firms cash budget?

Suppose a firms cash flows do not occur uniformly throughout the month. What effect would this have on the accuracy of the forecasted borrowing requirements based on a monthly cash budget? How could the firm deal with this problem?

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