CFA CFA Level 1 Question of the Week – Corporate Finance

Question of the Week – Corporate Finance

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    • AdaptPrep
      Participant
        • Undecided
        Up
        14
        ::

        Which of the following examples would be best described
        as a drag on liquidity?

        • Reduced line of credit
        • Early payment to creditors
        • Delinquent account receivable
        siddharth voted up
      • AdaptPrep
        Participant
          • Undecided
          Up
          5
          ::

          @Pahtsan Yes, they are.

        • AdaptPrep
          Participant
            • Undecided
            Up
            5
            ::

            In basic terms, for a company to be liquid, money must
            come in before it goes out. There are 2 potential difficulties; drags and
            pulls. A drag is when the money doesn’t come in when expected (such as an account receivable being late or
            uncollectible). A pull is when the money must go out sooner than expected (such
            as a reduced line of credit, or early payments).

            greatdas11 voted up
          • Pahtsan
            Participant
              • CFA Level 1
              Up
              3
              ::

              Are these all Level I questions?

            • Zaydarecov
              Participant
                • CAIA Level 2
                Up
                0
                ::

                Although Forex is an exciting and profitable financial market, many traders struggle to get stable profits and increase their trading deposits. Most newcomers to the market drain their first deposit in a few weeks because they lack an understanding of the basic trading concepts and do not pay much attention to risk management. Also, beginners do not use such things as the classic pivot point formula and some other tricks of experienced traders. Therefore, learning about all the trading tricks is important before you start doing it professionally.

              • maeelossa
                Participant
                  • CFA Level 1
                  Up
                  0
                  ::

                  Delinquent…

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