Receivable Management - Subjective Questions

1.  How does an efficient receivable management strategy impact a company's cash flow and overall financial health?
2. Discuss the key factors that influence a company's credit policy and how they relate to receivable management decisions.
3. Explain the concept of "days sales outstanding" (DSO) and its significance in assessing the effectiveness of receivable management.
4. In a scenario where a company is facing economic downturn, how should its receivable management strategy be adjusted to mitigate potential risks?
5. Compare and contrast the advantages and disadvantages of offering discounts for early payment versus charging penalties for late payment in receivable management.
6. Describe the role of technology and automation in enhancing the efficiency and accuracy of receivable management processes.
7. How can a company strike the right balance between granting credit to customers and minimizing the risk of bad debts through effective credit evaluation methods?
8. Discuss the ethical considerations that come into play when implementing aggressive collection practices as part of receivable management.
9. In an international business context, what unique challenges might a company face in receivable management, and how can these challenges be effectively addressed?
10. Analyze the impact of a lenient versus a stringent collection policy on customer relationships and the company's overall reputation in the market.