Which of the following is the most appropriate management response to recurring overdraft dependence?

Type: MCQ • Marks: 1

A. Analyse cash flows, improve expenditure planning and comply with borrowing limits and financial rules

B. Increase the overdraft without analysis

C. Hide overdraft interest

D. Stop maintaining the cash book

Explanation

Recurring overdraft can be a symptom of poor liquidity management.

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UPSC Principal & Vice Principal Management Finance Administration

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