1) Describe an aggressive working capital policy. What are the benefits of such a policy, and what are the potential costs? 2)Cash is a non-earning asset and I (and many others) have suggested that rather than holding large cash balances, the company should rely on debt financing, on an as-needed basis, to cover unexpected difficulties or opportunities. Is this a realistic approach, do you think? And debt financing is expensive, whereas cash is "free"...
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