What Are the Main Elements of Working Capital

question 21

Multiple Choice

What are the main elements of working capital?

• A) Inventories, accounts receivable, cash, mortgages payable and revolving lines of credit.
• B) Inventories, accounts receivable, cash, bonds payable and revolving lines of credit.
• C) Equipment, accounts receivable, cash, accounts payable and revolving lines of credit.
• D) Inventories, accounts receivable, equipment, accounts payable and revolving lines of credit.
• E) Inventories, accounts receivable, cash, accounts payable and revolving lines of credit.

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Definitions:

Statistical Evidence

Data or information collected and analyzed to support or refute a hypothesis, often derived from statistical tests.

Alternative Hypothesis

A statement that contradicts the null hypothesis and is tested to determine if there is significant evidence to support it.

Test Statistic

A value calculated from sample data used to make a decision on whether to reject the null hypothesis.

Null Hypothesis

A default hypothesis that there is no significant effect or difference, usually tested against an alternative hypothesis in statistical analysis.