Which of the following is not a basic principle of cash management? A)Increase collection of receivables. B)Keep inventory levels high. C)Delay payment of liabilities. D)Invest idle cash.

Question

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Keeping inventory levels high is not a basic principle of cash management. Efficient cash management typically involves reducing inventory to minimize holding costs and free up cash, contrary to keeping high levels of inventory which can tie up funds unnecessarily.

Which of the Following Is not a Basic Principle of Cash