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WC POLICY

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › WC POLICY

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by AvatarJohn Moffat.
Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • May 10, 2018 at 4:15 pm #451065
    Avatarhumai
    Participant
    • Topics: 757
    • Replies: 248
    • ☆☆☆☆☆

    Sir

    Aggressive investment policy
    1)It results in higher risk, lower cost and higher profitability, right?
    2) But does it lead to longer cash operating cycle or does it lead to shorter cash operating cycle?

    Conservative investment policy
    3)It results in lower risk, higher cost and lower profitability, right?
    4) But does it lead to longer cash operating cycle or does it lead to shorter cash operating cycle?

    May 10, 2018 at 6:08 pm #451090
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54846
    • ☆☆☆☆☆

    Statements 1 and 3 are correct. However the operating cycle is not dependent on the policy.

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  • The topic ‘WC POLICY’ is closed to new replies.

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