How Would a Company's Working Capital Be Affected If a Substantial

question 75

Multiple Choice

How would a company's working capital be affected if a substantial amount of accounts payable were paid in cash?

• A)It would be unaffected.
• B)It would fall.
• C)It would increase.
• D)The change would depend on the relationship between the payables liquidated and current liabilities.

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Definitions:

Kazimir Malevich

A Russian avant-garde artist and art theorist, best known for his development of the Suprematist movement, which emphasized basic geometric forms and pure artistic feeling.

Suprematist Theories

Artistic theories associated with the Suprematism movement, emphasizing basic geometric forms and the supremacy of pure artistic feeling over the depiction of objects.

Influenced

To have an effect on the character, development, or behavior of someone or something, or the effect itself.

Rectangular Format

A shape or layout that is longer in length than in height or width, common in paintings, photographs, and screens.