Which One of the Following Will Cause a Reduction in the Net

question 58

Multiple Choice

Which one of the following will cause a reduction in the net working capital turnover ratio all else held constant?

• A)a decrease in sales.
• B)an increase in average payables.
• C)an increase in average inventory.
• D)an increase in the average cash balance.

---

Definitions:

Organizational Members

Individuals who are part of an organization, including employees, managers, and stakeholders, and contribute to its mission and goals.

Grapevine

A casual communication system inside a company, frequently the source of rumor dissemination and non-official news.

Rumour

An unverified belief that is in general circulation.

Designer Fashions

High-end, often luxury clothing and accessories created by prominent or emerging fashion designers.