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.