Cash management techniques and cash rebates


Problem:

Among the cash management techniques used by most businesses are those that slow down their bill payments. A good example for this is "Cash Rebates" offered on household items like computers and other electronics.

1. Are these practices sound business decisions? Are they ethical? Explain.

2. What percentage of the rebates offered are actually paid?

Select a business you are familiar with and explain whether you would recommend this business use cash rebates.

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