Which One of the Following Would Increase the Working Capital

question 194

Multiple Choice

Which one of the following would increase the working capital of a company?

• A) Cash payment of payroll taxes payable.
• B) Refinancing a short-term note payable with a two year note payable.
• C) Cash collection of accounts receivable.
• D) Payment of a 20-year mortgage payable with cash.

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Definitions:

Start-Ups

Newly established businesses often characterized by innovation and aimed at fulfilling a specific market need or niche.

Market Niche

A specialized segment of the market targeted by businesses offering unique products or services to meet specific customer needs.

First-Mover Advantage

The competitive advantage gained by a company that is the first to introduce a new product or service in the market.

Breakthrough Stage

a phase in the development or growth of something marked by a significant discovery or achievement that propels progress.