If Accounts Receivable Increase by $1,000,000, Inventory Decreases by $500,000

question 47

Multiple Choice

If accounts receivable increase by $1,000,000, inventory decreases by $500,000, and accounts payable increase by $500,000, net working capital would ________.

• A) decrease by $500,000
• B) increase by $1,500,000
• C) increase by $2,000,000
• D) experience no change

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