Jones,IncHas a Current Ratio Equal to 1

question 83

Multiple Choice

Jones,Inc.has a current ratio equal to 1.40.Which of the following transactions will increase the company's current ratio?

• A) The company collects $500,000 of its accounts receivable.
• B) The company sells $1 million of inventory on credit.
• C) The company pays back $50,000 of its long-term debt.
• D) The company writes a $30,000 check to pay off some existing accounts payable.