Other Things Held Constant, Which of the Following Alternatives Would

question 36

Multiple Choice

Other things held constant, which of the following alternatives would increase a company's cash flow for the current year?

• A) increase the number of years over which fixed assets are depreciated for tax purposes.
• B) pay down the accounts payables.
• C) reduce the days' sales outstanding (dso) without affecting sales or operating costs.
• D) pay workers more frequently to decrease the accrued wages balance.
• E) reduce the inventory turnover ratio without affecting sales or operating costs.

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Definitions:

Breccia

A coarse-grained sedimentary rock composed of angular fragments, usually formed at a fault zone or by volcanic activity.

Sandstone

A sedimentary rock composed mainly of sand-sized mineral particles or rock fragments, often used in building and construction.

Sedimentary Clasts

Fragments or grains of rock or mineral that have been broken from a pre-existing rock and transported, eventually being deposited as sedimentary rock.

Steepness Of Slope

A measure of the inclination of a surface or a line in relation to the horizontal plane, significant in determining the speed and direction of water flow and erosion.