Which One of the Following Events Does Not Have Any

question 85

Multiple Choice

Which one of the following events does not have any impact on total working capital?

• A)A cash dividend to be paid next month is declared.
• B)Warranty expense is accrued.
• C)Salaries previously accrued are paid.
• D)Debt which was previously long-term matures next year.

---

Definitions:

Commissions Paid

Expenses a company incurs from paying a fee to agents or salespersons based on the sales volume or contracts they secure.

Cost of Production Report

A summary documenting the costs associated with producing goods, usually within a manufacturing environment.

Direct Labor

The labor cost of workers directly involved in the production of goods or services, considered a variable cost.

Applied Factory Overhead

The portion of factory overhead costs that has been assigned to goods produced, often based on a predetermined rate.