Question: A company is experiencing some cash management issues. The senior management team has proposed four strategies to improve the success of the company. Each strategy

A company is experiencing some cash management issues. The senior management team has proposed four strategies to improve the success of the company. Each strategy is listed in the table below.

Instructions
Complete the above table by identifying the categories (operating, investing, or financing) of cash flows affected by each strategy and the impact (increase or decrease) that the strategy will have on each category.

Category ofImpact on Cash Cash FlowFlow (Increase or Affected Decrease) Collect accounts receivable more quickly and use the cash received to buy equipment. Pay accounts payable more slowly and use the cash saved to pay dividends Issue common shares and use the proceeds to pay down bank loans. Sell non-current bond investments and use the proceeds to pav a larger bo s to improve retention rates. nus to employee

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