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A(n) _____ information system is typically used to support decisions in managing an organization's cash flows.

a) Financial Information System
b) Budgeting System
c) Cash Management System
d) Accounting Information System

1 Answer

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Final answer:

A Cash Management System supports decisions in managing an organization's cash flow, optimizing liquidity, and handling daily financial operations. Option c.

Step-by-step explanation:

A Cash Management System option c is typically used to support decisions in managing an organization's cash flow. This type of system helps businesses handle daily financial operations and optimize their liquidity, ensuring there is enough cash on hand for immediate transaction needs while also managing any excess funds for short-term investments. A cash management system encompasses a range of functions such as monitoring bank balances, automating payment systems, managing reserve funds, and ensuring that there is sufficient provision for a standard of deferred payment and store of value.

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