Most Recent IMANET CMA Exam Dumps

Once an old piece of equipment has been disposed of, its histoncal cost no longer has an impact on a firms cash flows.

A draft is a three-part instrument in which one person (the drawer) orders a second person (the drawer) to pay money to a third person (the payee). A check is the most common form of draft. It is an instrument payable on demand in which the drawer is a bank. Consequently, a draft can be used to delay the outflow of cash. A draft can be dated on the due date of an invoice and will not be processed by the drawer until that date, thereby eliminating the necessity of writing a check earlier than the due date or using an EFT. Thus, the outflow is delayed until the check clears the drawer bank.

The capital budgeting methods that are generally considered the best for long-range decision making are the internal rate of return and net present value methods. These are both discounted cash flow methods

Conversion costs are necessary to convert raw materials into finished products. They include all manufacturing costs, for example, direct labor and factory overhead, other than direct materials.

Psychic proximity means the nearness of the markets culture, language, and laws to those 'the firm's home country. For example1 Portuguese is spoken in Brazil.