Whether maximizing disbursement float is a good business practice Introduction: Cash management refers to the process of handling and using cash in the business. Cash management is necessary because the businesses are motivated to hold cash for speculation, precaution, and for carrying out business-related transactions. Float refers to the difference between the cash value mentioned in the books and the cash value mentioned in the bank passbook.

Question

Want to see the full answer?

Answer 1

Question

Chapter 19.4, Problem 19.4ACQ

Summary Introduction

To discuss: Whether maximizing disbursement float is a good business practice

Introduction:

Cash management refers to the process of handling and using cash in the business. Cash management is necessary because the businesses are motivated to hold cash for speculation, precaution, and for carrying out business-related transactions.

Float refers to the difference between the cash value mentioned in the books and the cash value mentioned in the bank passbook.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

What is hedge accounting?

When do capital flow management and macroprudential measures overlap?

What's the connection between financial intermediaries and securitization? When securitization moves forward, what happens to the financial intermediaries involved?

Answer 2

Question

Chapter 19.4, Problem 19.4ACQ

Summary Introduction

To discuss: Whether maximizing disbursement float is a good business practice

Introduction:

Cash management refers to the process of handling and using cash in the business. Cash management is necessary because the businesses are motivated to hold cash for speculation, precaution, and for carrying out business-related transactions.

Float refers to the difference between the cash value mentioned in the books and the cash value mentioned in the bank passbook.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 19.4, Problem 19.4ACQ

Summary Introduction

To discuss: Whether maximizing disbursement float is a good business practice

Introduction:

Cash management refers to the process of handling and using cash in the business. Cash management is necessary because the businesses are motivated to hold cash for speculation, precaution, and for carrying out business-related transactions.

Float refers to the difference between the cash value mentioned in the books and the cash value mentioned in the bank passbook.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 19.4, Problem 19.4ACQ

Summary Introduction

To discuss: Whether maximizing disbursement float is a good business practice

Introduction:

Cash management refers to the process of handling and using cash in the business. Cash management is necessary because the businesses are motivated to hold cash for speculation, precaution, and for carrying out business-related transactions.

Float refers to the difference between the cash value mentioned in the books and the cash value mentioned in the bank passbook.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 19.4, Problem 19.4ACQ

Summary Introduction

To discuss: Whether maximizing disbursement float is a good business practice

Introduction:

Cash management refers to the process of handling and using cash in the business. Cash management is necessary because the businesses are motivated to hold cash for speculation, precaution, and for carrying out business-related transactions.

Float refers to the difference between the cash value mentioned in the books and the cash value mentioned in the bank passbook.

Answer 6

Chapter 19.4, Problem 19.4ACQ

Summary Introduction

To discuss: Whether maximizing disbursement float is a good business practice

Introduction:

Cash management refers to the process of handling and using cash in the business. Cash management is necessary because the businesses are motivated to hold cash for speculation, precaution, and for carrying out business-related transactions.

Float refers to the difference between the cash value mentioned in the books and the cash value mentioned in the bank passbook.

Answer 7

Chapter 19.4, Problem 19.4ACQ

Summary Introduction

To discuss: Whether maximizing disbursement float is a good business practice

Introduction:

Cash management refers to the process of handling and using cash in the business. Cash management is necessary because the businesses are motivated to hold cash for speculation, precaution, and for carrying out business-related transactions.

Float refers to the difference between the cash value mentioned in the books and the cash value mentioned in the bank passbook.

Answer 8

Expert Solution & Answer

Answer 9

Expert Solution & Answer

Answer 10

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 11

Ch. 19.1 - What is the transaction motive, and how does it...Ch. 19.1 - What is the cost to the firm of holding excess...Ch. 19.2 - Which would a firm be most interested in reducing,...Ch. 19.2 - Prob. 19.2BCQ Ch. 19.2 - Prob. 19.2CCQ Ch. 19.3 - Prob. 19.3ACQ Ch. 19.3 - Prob. 19.3BCQ Ch. 19.4 - Prob. 19.4ACQ Ch. 19.4 - What is a zero-balance account? What is the...Ch. 19.5 - What are some reasons why firms find themselves...

Solution Summary: The author explains that disbursement float is a condition where the company's book balance is lower than the available cash balance.

Want to see the full answer?

Chapter 19 Solutions