ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

A+| A| A-

Cash Management in a Developed Economy

Cash Management in a Developed Economy Surendra S Singhvi John A Kaupisch The purpose of this' paper is to establish the relationship between the thoughts of the academic world and the practical management of cash by corporations. The problem, as considered by both views, is; "How do corporations manage their cash and why?" The paper is divided into three parts: the first part of the paper deals with the academic view of cash management; the second part presents cash management policies and practices of three large United States corporations; and the last part compares the academic with the practical approach "FOR the purpose of the present text, we shall broaden the concept somewhat by defining finance as that administrative area or set of administrative functions in an organisation which have to do with the management of the flow of cash so that the organisation will have the means to carry out its objective as satisfactorily as possible, and at the same time meet its obligations as they become due.''1 This quote shows the importance of cash management and, to an extent, the reason why this topic has been chosen as one worthy of expanded thought. First, it is believed that the term "cash management" must be expanded to "cash items management" because, in recent years, short-term liquid paper as well as actual money have both been called cash. Therefore, cash has two forms

Dear Reader,

To continue reading, become a subscriber.

Explore our attractive subscription offers.

Click here

Back to Top