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.

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Definitions:

Demand for Crew

The need or requirement for staff or team members, particularly in sectors such as aviation, maritime, and entertainment, where specific skill sets are necessary for operations.

Factor Market

A marketplace for the services of a factor of production, such as labor, capital, or land.

Labor-Augmenting Technology

Technological advancements that improve the efficiency of labor, resulting in higher output per worker.

Price of Output

The selling price for goods or services produced by a firm or industry.