Cash budgets project cash inflows and outflows over a period of several years in order to help financial managers determine the best way to meet longterm financing needs.

Question

Cash budgets project cash inflows and outflows over a period of several years in order to help financial managers determine the best way to meet long­term financing needs.

Quizplus · Accepted Answer

Cash budgets typically project cash inflows and outflows over a short-term period, such as monthly or quarterly, to manage day-to-day liquidity rather than long-term financing needs.

Cash Budgets Project Cash Inflows and Outflows Over a Period