If cash sales are high in handicrafts but savings are low, which management tool will be most useful?

Correct answer: Income-expense and cash flow records

High cash sales do not automatically mean that a craft business is saving money. Money may be leaving through raw materials, wages, transport, rent, food, debt payments, or personal spending. An income-expense record shows where money comes from and where it goes. A cash-flow record also shows the timing of receipts and payments, helping the artisan see whether enough cash remains for future needs and savings.

Option C is correct because these records provide evidence for budgeting, controlling unnecessary expenses, and planning savings. Social-media posts may help promotion but cannot explain missing money. Hiding products or separating artisans does not solve a financial-management problem. The important distinction is between sales revenue and actual surplus after expenses.