One way a firm can reduce the amount of cash it needs in any one month is to
A)slow down the payment of receivables
B)speed up the payment of payables
C)speed up the payment of taxes
D)speed up the payment of wages
E)none of the above

Question

Quizplus · Accepted Answer

None of the options provided would reduce the amount of cash needed in a month. Slowing down the payment of receivables would actually increase cash needs, while speeding up payments would increase cash outflows.

One Way a Firm Can Reduce the Amount of Cash