A CASH MANAGEMENT IN A SUPERMARKET STORE
ABSTRACT
The most important resource needed to established and effectively run a business certain cash. A company’s cash requirement are planted out in the form of cash flow statement cash flow statement provides information about cash receipt and cash payments of an enterprise over a given period of time. It indicates the pattern of cash generation and utilization. It reveals how cash is generated from operation and how payment are made such as taxes, dividends and debts. The knowledge go a way in determine the financial strength of that enterprise. The work of others had done research textbooks, journals, hand-outs, seminar, workshops and conference were reviewed in course of this project. The research instrument used in respect of this study is questionnaire and interview question are design on close ended format to enable the respondent provides answers to questionnaire easily and to make it very easy for the researcher to control and analyze responses. It was also observed that with cash management strategies such as cash planning managing cash flow, investing surplus cash of idle cash and keeping optimal cash balance etc contributes effectively in cash flow management.
CHAPTER ONE
1.0 INTRODUCTION
Cash is the most liquid asset of any super market store. All supper market store whether large or small receive and pay out certain amount of cash in the process of business transactions. Consequently for a company to have enough liquidity to meet its current obligation it requires good and efficient management for the fact the cash inflows and out flows are differently timed. Cash is the basic input and the ultimate output and is made up of currency and demand deposit, the latter being more important for many super market stores. Cash requirement tend to rise in proportion to the volume of transactions to ensure that the current liabilities are settled at the appropriate time, sufficient liquid assets should be maintained. Furthermore, there are other demands upon which the stores demand for cash such as cash payment of interest, dividend, and creditors for good supplied, repayment of the bank loans etc.
