Issues in manipulating cash flows operations Top financial management wants to increase cash flow from operations. It asks you to implement the following strategies. Which of these, if implemented, will increase cash flow from operations contrasted to the amount ii you do not implement the strategy for the Comment on the wisdom and suitability of these strategies.
a. The firm delays maintaining equipment until after the start of the next period.
b. The firm delays purchasing new equipment until after the start of the next period.
c. The firm sells $1 million of accounts receivable for $980,000 cash to a financial institution, but agrees to reimburse the purchaser for the amount by which uncollectible accounts exceed $20,000.
d. The firm delays paying for its employees’ insurance premiums until after the start of the next period.
e. The firm delays paying some suppliers until after the due date, and until after the start of the next period.
f. The firm sells goods for cash but promises the customers that they can return the goods for full refund after the start of the next period.