For business organization to maintain its operations over extended period of time, it is essential to preserve proper management over its cash flow.
For each of given cases, describe in detail practices you would suggest.
Case 1: Over past five years, your organization has experienced gradually more negative cash flow, requiring business to take out line of credit by a local bank to complement cash shortfalls. describe, in detail, practices you would suggest to develop cash flow. Let credit policies, collections, product pricing, and accounting processes, for instance. Ensure to consider options for operating, financing, and investing activities, in answer.
Case 2: Over past three years, business organization has experienced positive cash flow, in excess of expectations of company management. describe, in detail, your suggestions for bringing cash flow in line with management's expectations. Ensure to consider options for financing, operating, and investing activities, in answer.