For Most Corporations, Net Working Capital Is

question 56

Multiple Choice

For most corporations, net working capital is:

• A) negative during the inventory period of the cash conversion cycle.
• B) equal to the amount of current assets.
• C) positive to provide liquidity during the cash conversion cycle.
• D)present only during slack periods of the year.

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Definitions:

Expectancy Theory of Motivation

A psychological theory suggesting that people are motivated to engage in behaviors based on the expected outcomes and the value of those outcomes to them.

Administering an Unpleasant Outcome

The process of executing or delivering a negative or unfavorable result or decision.

Punish

The act of imposing a penalty or consequence on someone for their behavior or actions, often as a method of enforcing rules or discipline.

OB Mod

A management approach focusing on changing employees' behaviors through a system of rewards and punishments known as organizational behavior modification.