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Exam CSCP topic 1 question 257 discussion

Actual exam question from APICS's CSCP
Question #: 257
Topic #: 1
[All CSCP Questions]

A company that is effectively managing its cash will have which of the following conditions?

  • A. Low accounts receivable, low inventory, high accounts payable
  • B. High accounts receivable, low inventory, high accounts payable
  • C. Low accounts receivable, high inventory, low accounts payable
  • D. High accounts receivable, high inventory, low accounts payable
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Suggested Answer: A 🗳️
by Doctore at Sept. 30, 2022, 4:59 p.m.

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darkunm
4 months, 4 weeks ago
Answer is A: My opinion because company has more working capital ( Cash On Hand ) Low accounts receivable Company has more cash On hand low inventory Company has more cash On Hand that not hold up in Inventory high accounts payable
upvoted 2 times
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Doctore
1 year, 9 months ago
why not B
upvoted 3 times
MahiSN
1 year ago
Yes, it should be B. Because if the company receives less and pays more cannot be effectively managing the finances
upvoted 2 times
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C (25%)
B (20%)
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