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NEW QUESTION: 1
Attributes quality data are:
A. reflect measurements on a continuous scale of a characteristic of the product or service
B. Both 1) quantitative or qualitative data, and 2) quality data for which the products or services is designed and built.
C. quantitative or qualitative data
D. quality data for which the products or services is designed and built.
E. indicate management's understanding of the concept of variability
Answer: B
NEW QUESTION: 2
For which of these situations do you need to define Banks?
A. To specify the country and code of the banks you deal with.
B. In order to define Payment Terms.
C. To define business partner bank accounts.
D. In order to set up credit card payment methods.
E. In order to define House Banks.
Answer: A,B,C,D,E
NEW QUESTION: 3
When managing cash and short-term investments, a corporate treasurer is primarily concerned with:
A. Investing in government bonds since they have no default risk.
B. Maximizing rate of return.
C. Liquidity and safety.
D. Minimizing taxes.
Answer: C
Explanation:
Cash and short-term investments are crucial to an entity's continuing success. Sufficient liquidity must be available to meet payments as they come due. At the same time, liquid assets are subject to significant control risk. Therefore, liquidity and safety are the primary concerns of the treasurer when dealing with highly liquid assets. Cash and short term investments are held because of their ability to facilitate routine operations of the entity.
These assets are not held for purposes of achieving investment returns.
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MS-740 Exam Topics
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