True or False

Total Inventory cost is the total cost associated with placing an order and maintaining inventory inclusive of the actual cost of the inventory itself (T or F)

Speculative cash balance is held in reserve for unforeseen fluctuations in cash flows.

Quantity discount is a reduction in the invoice price of goods offered by the seller to encourage early payment

Marketable securities must be on short term maturity to assure liquidity, though, it may generate low return due to having low risk.

A greater lead time would mean delayed or postponed delivery of ordered goods.

Spontaneous assets are balance sheet items that typically grow in proportion to income such as investments and fixed assets for these are accumulated automatically as a result of a company's day-to-day business activity.

When a client exceeds the credit term stated in the agreement, he may still have good reputation even if he continuously incurs default as long as he settles the obligation .

Working capital only includes current liabilities that are specifically used to finance current assets