--%>
Assignment Help - homework help

Explain Cash Management

Cash Management: Cash Management is the management of cash balances of a concern in such a way as to maximize the accessibility of cash not invested in inventories or fixed assets and to ignore the risk of insolvency. According to Keynes there are three main motives for holding cash: the transactions motive, precautionary motive, and the speculative motive. The most helpful method of cash management is the cash budget.

In common, small businesses do not always contain the capability to acquire the credit they might require. They encompass to rely more on their own money to meet expenditures. Even in a big business, the costs might come up which are not estimated. Being unable to handle such situations puts a company at risk for loss of revenue or, in the most horrible case scenario, going out of the business.

   Related Questions in Managerial Accounting

  • Q : Explain Activity-Based Costing

    Activity-Based Costing: It is a cost accounting process that measures the cost and performance of process related activities and cost objects. It assigns cost to cost objects, like products or customers, based on their utilization of

    		•
  • Q : How do tax influence the cost of debt

    Normal 0 false false

  • Q : Calculate From the books of Aggarwal

    From the books of Aggarwal Bors, the following information have been extracted: Rs. Sales 2,40,000 Variable costs 1,44,000 Fixed costs 26,000 Profit before tax 70,000 Rate of tax 40% The firm is proposing to buy a new plant which can generate additional annual profit of Rs. 10,000. The fixed

    		•
  • Q : Explain Process Value Analysis Process

    Process Value Analysis: Tools and methods for studying processes via customer value analysis. Its objective is to recognize opportunities for lasting enhancement in the performance of an association. It offers an in-depth review of wo

    		•
  • Q : Define Process and Process Costing

    Define Process and Process Costing: Process: The organized process of transforming inputs (that is, people, equipment, techniques, materials, and atmosphere), to outputs (that is, products or servi

    		•
  • Q : Working areas of the Finance department

    Write a short note on the main working areas of the Finance department?

    		•
  • Q : Evaluate the strategic options Identify

    Identify and evaluate the strategic options in brief?

    		•
  • Q : Things which Strengths comprises Write

    Write a brief note on the things which Strengths comprises?

    		•
  • Q : What is Outputs Outputs : Any product

    Outputs: Any product or service formed from the consumption of resources. This can comprise information or paper work produced by the completion of the tasks of an activity.

    		•
  • Q : Define Cost Accounting Practice Cost

    Cost Accounting Practice: Any disclosed or recognized accounting process or technique that is used for the measurement of cost, assignment of cost to cost objects and assignment of cost to accounting periods.

    		•