31. The XYZ Company has annual average purchases of $200,000 and an ending accou

Question

31. The XYZ Company has annual average purchases of $200,000 and an ending accounts payable balance of $36,000. How long, on average, does XYZ take to pay for its purchases?
11.11 days
22.22 days
28.78 days
32.85 days
65.70 days


32. A gas station is likely to receive ________ term credit for gasoline purchases; a grocery store is likely to receive _________ term credit for vegetables purchases; and a manufacturer is likely to receive _________ term credit for purchase of plant and equipment.
Short, short, short
Long, long, long
Long, long, short
Short, short, long
Short, long, long


33. Knowledge of the regulatory system, and changes to it, is important to the cash manage because:
banking fees are only determined by federal banking regulations
inefficiencies introduced by the regulatory system enable the cash manager to create value
the regulatory environment has a strong influence on the credit line rates charged by banks
it helps them to better forecast interest rates


34. The bank of first deposit will select the clearing mechanism to use based on all of the following except:
the dollar amount of the check
the location of the draw ban
the desires of the party that wrote the check
the availability schedule the bank would be granted for each clearing alternative


35. Interstate banking on an unlimited scale would make short-term financial management
less costly and more efficient
obsolete
more costly
less efficient and more dependent on computers

Explanation / Answer

31 32.85 days 32 Short, short, long 33 the regulatory environment has a strong influence on the credit line rates charged by banks 34 the desires of the party that wrote the check 35 less efficient and more dependent on computers

Related Questions

Navigate

• Browse (All)
• Browse 3
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.