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Ir a business is very seasonal by nature, and has major fluctuations in terms of cash flows, what should its cash budget have? Select one:

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Ir a business is very seasonal by nature, and has major fluctuations in terms of cash flows, what should its cash budget have? Select one: O a. A higher number of intervals O b. A lower number of intervals O c. Zero intervals If an applicant for trade credit is already in possession of a credit card from their bank, this should be seen as a/an factor towards awarding them credit Select one: a. Irrelevant b. Positive c. Negative In anticipation of rising prices, a procurement manager would want to buy: Select one: O a. The same amount of inventory as usual b. As much inventory as possible c. As little inventory as possible What are some potential disadvantages of carrying too much stock? Select more than one: a. Loss of sales because of stock-outs b. The opportunity cost of money tied up in stock B c. Being unable to sell stock due to changes in market tastes d. Being perceived as a specialist in that type of stock only, and losing other customers e. High storage costs Which of the following are reasons to send out small invoices regularly, rather than larger invoices more infrequently? Select more than one: a. If customers are under cash-flow pressure, small invoices are more likely to get paid. O b. Postage and communication costs are lower when sending invoices regularly, c. Calculation of large invoices takes more time and effort by the accounts department d. Smaller invoices can be approved for payment faster than large ones Which of the following could be seen as measures to prevent inventory losses? Select more than one: a. Surveillance cameras placed along each aisle b. Having multiple, unmanned exits c. Each employee having keys to the stock room d. Higher value items being kept behind the till counter e. Electronic tagging of goods Which of the motives for holding cash is tied to the need to have some cash on hand for payments and disbursements that occur in the day-to-day running of the business? Select one: a. Transaction motive b. Precautionary motive c. Speculative motive d. Compensating balances motive

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