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

question 86

Multiple Choice

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

• A)The firm relaxes its credit policy.
• B)The firm increases its usage of accruals.
• C)The firm pays off a short-term bank loan with cash.
• D)None of these will cause a firm's net working capital to decrease.

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Definitions:

Morality

Principles concerning the distinction between right and wrong or good and bad behavior, often guided by personal, cultural, or societal values.

Individualism

A social and political philosophy that emphasizes the moral worth and autonomy of the individual, often opposing external interference upon one's own interests.

David Walker

An African American abolitionist whose 1829 pamphlet “Appeal to the Coloured Citizens of the World” called for the end of slavery and racial discrimination.

Slavery Problems

Issues and challenges related to the historical institution of slavery, including moral, economic, and social implications, as well as its lasting effects on societies.