Use of safety stock by a firm would

Related MCQs

• -Under a conservative financing policy a firm would use long-term financing to finance some of the temporary current assets. What should the firm do when a "dip" in temporary current assets causes total assets to fall below the total longterm financing?
• How can a firm provide a margin of safety if it cannot borrow on short notice to meet its needs?
• 80% of sales of 10,00,000 of a firm are on credit. It has a Receivable Turnover of 8. What is the Average collection period (360 days a year) and Average Debtors of the firm?
• Debt to Total Assets of a firm is .2. The Debt to Equity boo would be:
• Stock split is a form of
• In stock dividend:
• If no information is available, the General Rule for valuation of stock for balance sheet is
• _________ function includes a firm’s attempts to balance cash inflows and outflows.
• Your firm has a philosophy that is analogous to the hedging (maturity matching) approach. Which of the following is the most appropriate form for financing a new capital investment in plant and equipment?
• Your firm has a philosophy that is analogous to the hedging (maturity matching) approach. Which of the following is the most appropriate non- spontaneous form for financing the excess seasonal current asset needs?