In order to manage a company's liquidity,managers and other users of financial information must understand the difference between transactions that generate immediate cash and those that do not.

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This statement is true. In order to effectively manage a company's liquidity, it is important to distinguish between transactions that generate immediate cash (such as sales of assets or borrowing money) and those that do not (such as accounts receivable or investments). This allows managers to make informed decisions about which activities to prioritize in order to maintain sufficient cash flow.

In Order to Manage a Company's Liquidity,managers and Other Users