For the following two situations, select the statement that would be most helpful in managing cash in each situation which is consistent with…

Situation 1 or Situation 2?

-Keep inventory quantities down to a level that is adequate for meeting current orders:: Situation 1 or Situation 2?

-Delay payment of liabilities by negotiating longer credit terms from suppliers, e.g., 40 instead of 30 days ::Situation 1 or Situation 2?

-Plan timing of major expenditures.::Situation 1 or Situation 2?

-Invest idle cash.::Situation 1 or Situation 2?

Balance the Cash account daily after recording all cash transactions, including electronic fund transfers (EFT), and prepare a monthly bank reconciliation statement.::Situation 1 or Situation 2?

Check customers’ credit history and references thoroughly before extending credit.::Situation 1 or Situation 2?