Cash flow does not rely on which of the following?
A) The payment patterns of customers.
B) The monetary policy of the Bank of Canada.
C) The speed at which suppliers and creditors process cheques.
D) The efficiency of the banking system.

Question

Quizplus · Accepted Answer

Cash flow is not directly affected by the monetary policy of the Bank of Canada, as this is a macroeconomic policy that affects the economy as a whole rather than individual business operations. However, changes in the monetary policy can indirectly affect cash flow by influencing interest rates, borrowing costs, and the overall availability of credit. Choices A, C, and D are all factors that can directly impact a company's cash flow.

Cash Flow Does Not Rely on Which of the Following