EVALUATE THREE WAYS OF IMPROVING A COMPANY’S
CASH FLOW:
I am using the Inverted ‘Y’ model to evaluate just ONE method which a
company can adopt to improve its cash flow.
1. USE OF CREDIT CARD:
ADVANTAGES
* provides interest-free credit if the
balance is paid on time
DISADVANTAGES
* may incur high interest
charges if balance is not
paid in time
2. ____________________
ADVANTAGES
*
DISADVANTAGES
*
3. ____________________
ADVANTAGES
*
DISADVANTAGES
*
Like wise, you have to analyze 3 such methods (by stating their advantages
and disadvantages). However, your answer is not completely evaluated
unless you actually offer a recommendation or judgment.
Hence, in
case.
YOU HAVE TO STATE YOUR JUDGMENT – in this
Out of the 3 methods that you analyzed, which method do ‘you’ think is the
BEST for the company to improve its cash flow position and then offer a
substantiated judgment.
You don’t have to physically draw the inverted Y chart, this is just a tool.
You have to use the linking words like however, nonetheless, etc. to
connect the advantages and disadvantages.
‘EVALUATION’ QUESTIONS ARE OF A HIGHER ORDER NATURE
IN BLOOM’S TAXONOMY AND ARE THE MOST CHALLENGING
QUESTIONS YOU COULD BE ASKED IN THE EXAM.
SYNONYMOUS WORDS INCLUDE ‘DISCUSS’, ‘JUSTIFY’, ‘IN YOUR
OPINION’, ‘RECOMMEND’, ‘ADVISE’ and ‘TO WHAT EXTENT’.
Created by Leena Palekar, Queensland Academy for Creative Industries,
2010.