Cash Flow Management (HSC SSCE Business Studies): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
What is cash flow?
What is cash flow?
Money movement in & out of a business
When does a cash flow problem occur?
When does a cash flow problem occur?
When outflows exceed inflows
What does a cash flow statement track?
What does a cash flow statement track?
All cash receipts & payments over a period
How long does a cash flow forecast typically cover?
How long does a cash flow forecast typically cover?
The next year
Which is a common cause of SME cash flow difficulties?
Which is a common cause of SME cash flow difficulties?
Slow-paying debtors
What does distribution of payments involve?
What does distribution of payments involve?
Spreading payments to avoid simultaneous outflows
What is an advantage of discounts for early payment?
What is an advantage of discounts for early payment?
Improves working capital
What is a disadvantage of early payment discounts?
What is a disadvantage of early payment discounts?
Decreases profit margins
What is factoring?
What is factoring?
Sale of accounts receivable for cash
How does invoice discounting differ from factoring?
How does invoice discounting differ from factoring?
Business retains debt collection responsibility