Chapter McGraw-Hill/Irwin Copyright © 2006 by The McGraw-Hill Companies, Inc. All rights reserved. 19 Cash and Inventory Policy

Introducing 19-1

Cash Movement 19-2

Anda memiliki Kas saat ini sebesar Cash OwnedAlternatif Rp 100,000Pinjemin temen bunga ?, simpen tabungan di bank Rp 1,000,000??? Rp 10,000,000??? Rp 100,000,000??? Rp 1,000,000,000Beli tanah, beli obligasi

Bagaimana apabila anda memiliki kendala waktu investasi ? Durasi ? Return, Risk, Duration Will Be Your Calculation

Upgrading You Cash Out = Disbursment Cash In = Collection 19-5

Basic Objective in CASH MANAGEMENT “ Keep The Investment in cash as low as possible while still keeping the firm operating efficiently and effectively “ 19-6

19-7 CompanyCash On Hand CIGNA$12.5 Billion IBM$10.5 Billion Pfizer$27.5 Billion ExxonMobil$36.0 Billion Microsoft$64.0 Billion

Why Would Firms such as These Hold such quantities of Cash ? 19-8

John Maynard Keynes in “The General Theory of Employment, Interest, and Money” -The speculative Motives -The precautionary Motives -The Transaction Motives 19-9

Speculative Motives “ The Need to Hold Cash in order to be able to take advantage of...” 19-10

Precautionary Motive “ The Need Of Safety Supply to act as a Financial Reserve “ 19-11

Transaction Motives “ The Need To Have Cash On Hand To Pay Bills” 19-12

Adding Reason : Compensating Balances “Cash Balances are kept at commercial Banks To Compensate For Banking services” 19-13

19-14 The Opportunity Cost Of Excess Cash Run Out Of Cash A Cash Balances must be Maintained to provide the Liquidity necessary for Transaction needs

Here Is For Example

Case Hari ini tanggal 1 january 2014 Kas Perusahaan (Cash on Hand / Bank) menunjukan Rp 10,000,000 Jadwal Pengeluaran (disbursements) sebagai berikut 19-16

19-17 DateAccounting AccountCash Disbursement 10 JanPelunasan A / PRp 2,000, JanPelunasan A / PRp 1,000, JanPembayaran BuruhRp 3,000, JanPembelian SuppliesRp 4,000,000 Rp 10,000,000 Is It A Good Policy To Keep Rp 10,000,000 from Jan 1th, till end Of Month ?

The Answer is “ Tergantung apakah anda memiliki alternatif investasi cepat (Short Term Investment ?)” 19-18

“Short Term Investment Must Be Very Low Of Risk But It Might Be Low Of Returns” 19-19

Date Cash Position Date of Cash Disbursement ValueTime For Investment 1 Jan10,000,00010 Jan2,000,0009 Days 11 Jan8,000,00015 Jan1,000,0004 Days 16 Jan7,000,00020 Jan3,000,0003 Days 21 Jan4,000,00022 Jan4,000,0001 days 23 Jan010,000,

19-21 Cash Cash On Hand Cash equivalent / near cash Cash ManagementLiquidity Management

Include Marketable Securities Sekuritas yang dengan cepat dapat di ubah menjadi Cash Account dalam B/S dibawah Cash 19-22

AssetsLiabilities + Shareholders Equity Cash Marketable Securities Account Receivable Inventory Short Term Investment Equipment Land + Building Intangible Assets (Paten, etc) Account Payable Short Term Liabilities Long term Liabilities Equity Retained Earnings 19-23

“Cash Float” “The Difference between book cash and bank cash representing the nett Effect of checks in The Process of Clearing” 19-24

19-25

Cash Float -Cash Disbursement Float -Cash Collection Float -Cash Nett Float 19-26

Chapter McGraw-Hill/Irwin Copyright © 2006 by The McGraw-Hill Companies, Inc. All rights reserved. 19 End of Chapter