Study Set: Phar ad finals

If cash excesses exist for a prolonged

period of time, management should

consider using all or a portion of the excess

to purchase more inventories or to buy

something else the owner finds potentially

profitable. Otherwise the excess cash

should be invested in some highly liquid

short-term securities that will pay interest on

the money.

Reconciliation of Cash Excess or

Deficiencies

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Phar ad finals

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