Why does it make sense to let the firms cash balance or a short-term liability account serve

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Why does it make sense to let the firm’s cash balance or a short-term liability account serve as the plug figure in pro forma projections? Why not use gross fixed assets as the plug figure?

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Introduction to Corporate Finance What Companies Do

ISBN: 978-1111222284

3rd edition

Authors: John Graham, Scott Smart

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Question Posted: Mar 26, 2015 06:52 AM

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Why does it make sense to let the firms cash balance or a short-term liability account serve

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It makes sense to have cash or shortterm debt as the p...View the full answer

Introduction to Corporate Finance What Companies Do

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