A Company with $60,000 in Current Assets and $40,000 in Current

question 32

Multiple Choice

A company with $60,000 in current assets and $40,000 in current liabilities pays a $1,000 current liability. As a result of this transaction, the current ratio and working capital will

• A) both decrease.
• B) both increase.
• C) increase and remain the same, respectively.
• D) remain the same and decrease, respectively.

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Definitions:

John Watson

An American psychologist who established the psychological school of behaviorism, emphasizing the importance of observable behavior over internal mental states.

Free Will

The ability to choose one's actions free from certain constraints, implying a sense of autonomy and responsibility for those decisions.

B. F. Skinner

A renowned American psychologist best known for his work in behaviorism and the development of the theory of operant conditioning.

Behavioural Perspective

An approach in psychology focusing on observable behaviors and the ways in which they're learned through interactions with the environment.