Which of the following best describes a company's proper liquidity management?

a. liquitity management is a balancing act; managers try to find liquidity levels that are neither too high not too low.
b. a financial manager will try to keep as much cash on the books as possible to maximize short-term earnings.
c. a company should never keep cash in its account because bond coupon payments can be deferred for up to a year without penalty.
d. liquidity levels that are too low will never cause a firm to go bankrupt.