Quiz 10

A filmmaker who was concerned with creating a realistic world in his/her films would probably shoot in the following setting

* We want to maintain a safe cash balance in order to meet short term obligations.

You will undoubtedly find yourself in numerous leadership situations during your professional career. Accordingly, you should understand that:

| Standard and superior materials are sourced from outside suppliers at prices that vary according to global demand-supply conditions; the company 's production workers are compensated on the basis of both base pay and incentive payments per pair

1. Why did psychologist Eric Berne develop the concept of a life position? How can this concept impact your interpersonal communication?

The cash conversion cycle measures the time between a firm spending cash and collect cash from the sales. The longer the time period the greater the potential need for working capital to support the firm. Generally, lower cash conversion cycle times are seen as favorable. The cash conversion cycle starts with Lawrence Sports purchasing the inputs for the goods they make from Garner Products and Murray Leather Works. The purchases will be on credit, and payment will be due at a point in the future. The goods are then made and shipped to Mayo, the payments to Garner Products and Murray Leather Works are due before the payments are received from Mayo, with Mayo creating further delays.

The current assets are those which are readily convertible into cash and cash equivalents due to their highly liquid nature and also form part of working capital of the company’s operations. However, the long term assets in contrast are not liquid because since they have a useful life of more than a year and hence their full value cannot be easily realized within

It is important to do quizzes and tests like these because it tells you a lot

Moving onto the balance sheet, it is safe to assume that the cash position in the firm will increase the rate of the sales growth going forward. In actuality, cash has historically increased faster than the growth of revenue with 2004 being an exception. To calculate the assumption for accounts receivable, inventory, and accounts payable, we averaged the four years worth of data

* Treasury Mix 75% Cash, 76% Debt; Financial Services Asset is Cash and its Liability is also Cash.

XYZ Company operates two departments, the assembly department and the finishing department. During June, the assembly department reported the following information:

Cash + cash equivalents + short term investments (marketable securities) + current receivables/ current liabilities

In practice, this means standby credits create an obligation on the bank to make a payment of a specific sum to a named beneficiary on demand.

Many organizations make a financial goal to minimize the amount of cash on hand on a monthly basis. This goal is based on attempting to reduce the amount of non-earning assets for the company. Cash on hand that is not required to meet a specific need could be placed in an interest bearing account or used to pay down on a credit balance, also reducing the amount of interest a company would have to pay on a loan. “Minimizing cash balances as well as having accurate knowledge of when cash moves into and out of the company can improve overall corporate profitability.” (Block & Hirt, 2004, pg. 175).

In many financing transactions the borrower will want access to both a revolving facility and a term loan. For example, to finance an acquisition, the borrower will likely want a term loan to finance all, or a portion of, the purchase price for the target company and after the acquisition, the borrower will likely need a revolving facility for working capital. To meet these needs, credit agreements and facilities are often divided into multiple “tranches” each