Which of the Following Actions Will Increase a Company's Quick

question 35

Multiple Choice

Which of the following actions will increase a company's quick ratio?

• A) Reduce inventories and use the proceeds to reduce long-term debt.
• B) Reduce inventories and use the proceeds to reduce current liabilities.
• C) Issue short-term debt and use the proceeds to purchase inventory.
• D) Issue long-term debt and use the proceeds to purchase fixed assets.
• E) Issue equity and use the proceeds to purchase inventory.