A firm's peak borrowing needs will probably be overstated if it bases its monthly cash budget on the assumption that both cash receipts and cash payments occur uniformly over the month but in reality receipts are concentrated at the beginning of each month.
Answer the following statement true (T) or false (F)
True
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A company's culture is NOT indicative of
A. company traditions and stories that exemplify behavioral norms. B. its core competencies and capabilities along the value chain. C. its company psyche and organizational DNA. D. accepted work practices that are held in high esteem. E. its self-replicating operating system that defines how things are done.
When they are sent to a customer and returned with the payment, remittance advices are examples of:
A. batch control totals B. computer-prepared documents C. written approval controls D. turnaround documents
Some lenders require the borrower to pledge property as security for a loan. This property is referred to as
A) an installment. B) equity. C) a down payment. D) collateral.
CraftWare Inc, a furniture manufacturer, uses ABC analysis to define its inventory value. The inventory contains wood, cast iron, adhesive, and carbon fiber. If wood accounts for 50 percent of the items and 5 percent of the total dollar value; carbon fiber accounts for 10 percent of the items and 60 percent of the total dollar value; cast iron accounts for 25 percent of the items and 18 percent
of the total dollar value; and adhesive accounts for 15 percent of the items and 17 percent of the total dollar value, _____ can be classified as a class C item. A) wood B) carbon fiber C) cast iron D) adhesive