Chapter 18 - Treasury Policies and Procedures

Treasury policies should be approved by the: A. Audit committee B. Controller C. Board of directors D. External auditors

C. Board of directors

Which of the following is NOT a key area to consider when establishing treasury policies? A. Equity method investments accounting B. Medium-term financing C. Management reporting D. Foreign currency management

A. Equity method investments accounting

"The CFO asks the treasurer to create a new collections and concentration policy for their company. Following implementation of the policy, the company finds that reporting of receivables values is taking 10% longer, with no improvement in the company s cash flow or liquidity. What step in developing the policy could have been executed to reduce this risk? " A. Delegation of authority B. Clarify roles and responsibilities C. Procedure implementation D. Identify issues and conduct analysis

D. Identify issues and conduct analysis