Where does the idle cash is invested by the managers?

Q: ash management model of

A: Step 1 For businesses with unexpected revenue and expenditure, the Miller-Orr cash management model…

Q: What are some of the cash management strategies used by your organization or by organizations that…

A: Cash Management:It is a method that helps to collects and manages the cash flow of an organization.…

Q: Explain "free cash flows." Why do managers like to retain free cash flows instead of distributing it…

A: Free cash flows (FCF) equals the amount left with the company after the required payments to the…

Q: Why is an analysis of the company’s cash balance important?

A: Cash: Cash is the money which is readily available in the form of currency. Since cash can be easily…

Q: HOW DID THEY CALCULATE THE FREE CASH FLOW?

A: Free cash flow means the amount of money the company keeps to settle down the creditors, for paying…

Q: What is the main purpose of the cash flow statement in business?

A: Cashflow statement contains the following activities: Operating 2. Investing and Financing In…

Q: Discuss the factors that are likely to influence the desired level of cash of a company

A: Cash involves cash in hand or bank balance or cash equivalents that can be immediately convertible…

Q: What methods can be used to delay a firm’s cash outflows?

A: Cash Outflows: It is the cash that go away from a business. Such cash can be used for paying staff…

Q: Cash generated from operations is reflected in the

A: 1. While preparing a cash flow statement we have to calculate Cash flow from operating activities.…

Q: What kind of operations are listed on the cash flow statement? Is it important the order these…

A: A cash flow statement is a basic financial report that depicts a company's cash inflows (cash…

Q: How can we Share Cash Flow from Operations?

A: Cash Flow from Operations is the cash flows from principal revenue generating activities of an…

Q: Describe the cash flow cycle in a typical manufacturing firm?

A: The cash conversion cycle mirrors the measure of days a business needs to convert resources to cash…

Q: Explain how a company can be “profit rich, yet cash poor.”

A: Corporation: A corporation is a form of business entity that is incorporated through the state…

Q: What methods can be used to speed up a firm’s cash inflows?

A: Cash inflows:Cash inflow can be defined as cash or money attained by an institution, firm or company…

Q: Explain the cash flow activities by the business cycle,showing where the cash is generated and where…

A: Cash Flow statement: The statement which summarizes the net amount of cash disbursed and received in…

Q: Describe what would happen to a company if it ran out of cash. Explain the importance of good…

A: Funds are the basic necessity to run the business. Funds are like blood for the business. No…

Q: How can managers use the statement of cash flows to make important business decision?

A: Cash flow from operating activities reflects how well the company is operating.

Q: Importance of Cash to Business Success

A: Cash is often cited as a key factor  for long-term success of a business. Cash implies the liquid…

Q: What are the benefits of a company having a centralized cash management system

A: A centralized cash management system efficiently handles cash and provides a higher return for the…

Q: Explain "frce cash flows. Why do managers like to retain free cash flows instead of distributing it…

A: Free cash flows : As the name suggests, free cash flows relates to the fund that are leftover to a…

Q: One concept that is at the heart of financial management decisions is the concept of Time Value of…

A: Financial management is a process that involves strategic planning, organizing, directing, and…

Q: How do you calculate Cash from operating activities?

A: Cash flow statement means the statement which shows the cash flow in or out of business enterprises…

Q: what factors determine the need cash in the firm's operations?

A: The following are the factors: 1. Purchase and Sale Terms 2. Receivables Collection Period 3. The…

Q: is the profit that a business makes a reliable indicator of its cash balance?

A: The profit is not a reliable indicator of the cash balance. This is because there are a number of…

Q: What would happen to a company if it ran out of cash? Explain the importance of good working capital…

A: Working capital is excess amout of current assets over current liabilities.  Cash conversation cycle…

Q: What are some examples of cash flow from operating activities?

A: Cash Flow Statement is a financial statement that summarizes the inflows and outflows of cash in the…

Q: What major advantage does a company that has positive free cash flow have over a  company that has…

A: Free cash flow : It is defined as a financial performance metric which shows how much funds are…

Q: What kind of operations are listed on the cash flow statement? Is it important the order these…

A: A cash flow statement is a basic financial report that depicts a company's cash inflows (cash…

Q: What is the difference between the net aggregate cash inflow and the net aggregate incomes?

A: The net cash flow of an association speaks to the entirety over some undefined time frame of the…

Q: What does the operating cycle and the cash conversion cycle tell the financial analyst and how does…

A: Financial analysts use different types of ratios and financial data in order to assess the…

Q: Why is understanding the relationship between the cash conversion cycle (CCC) and net working…

A: CCC is a time period in which inventory, account receivables and other resources convert into cash…

Q: What is the principal advantage and the principal disadvantage of the direct method of reporting…

A: Statement of cash flows: This statement reports all the cash transactions which are responsible for…

Q: What are the differences between cash from operating activities, cash from investing activities, and…

A: Cash from operating activities, cash from investing activities, and cash from financing activities…

Q: What are the key reasons for financial managers to maintain cash reserves? How much or how little…

A: Introduction: In order to fulfill immediate and short-term financial requirements, cash reserves…

Q: What is cash flow statement? What are the importance of cash flow in a business?

A: The cash is an important and most liquid asset for the business. The cash flow statement is one of…

Q: What are some tools that companies have to manage their (net operating) working capital?  Provide…

A: Net operating WC = CA - CL (current assets - current liabilities) The components of working capital…

Q: What factors determine the need for cash in a firm's operation?

A: It would be desirable on the part of the management to provide for sufficiently large amount of cash…

Q: Describe business activities that affect a firm’s cash flow.

A: Cash flows refers to the net amount of cash and equivalents of cash that are being operated into or…

Q: How do I manage money

A: It is essential for individuals to manage finances and ensures sufficient funds are available…

Managing Agency Conflict

Conflict is defined as an act of disagreement between two parties caused by uncertainties between them. The conflict has a negative outcome that affects both parties involved in the argument. Conflict arises when the parties' thoughts do not align or go in opposite directions. Conflicts have negative consequences for both the individual and the business. As a result, it should be avoided.