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Bhavyakriti
TOPIC QUESTION - PAPER 1
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Bhavyakriti
July 21, 2025 at 5:20:57 PM
Oct/Nov 2022
Version 2
5.0 Financial Information and Decisions
5.2 Cash-Flow Forecasting and Working Capital
YOUR ANSWER
Reason 1: With cash, the hand cream business would be able to pay its short term liabilities, like paying the suppliers on time, this will lead to a good relationship between kamala and her supplier so the supplier will continue to supply high-quality materials to her.
Reason2: The cash will help the business pay its day to day expenses without any extra hassle, kamala would be able to purchase different magazines to identify which one she should advertise her hand cream business in
Grade:
4/4
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