Which of the Following Actions Will Cause a Firm's Net

question 115

Multiple Choice

Which of the following actions will cause a firm's net working capital to increase?

• A)The firm uses more trade credit.
• B)The firm increases its inventory in anticipation of seasonal sales.
• C)The firm pays off a short-term bank loan with cash.
• D)All of these will cause a firm's net working capital to increase.

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Definitions:

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