If the firm was to shift $7,000 of fixed assets to current assets, the firm's net working capital would ________, and the risk of not being able to meet current obligations would ________, respectively. (See Table 14.2)
A) increase; increase
B) decrease; decrease
C) increase; decrease
D) decrease; increase
C
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On November 1, Orpheum Company accepted a $11,300, 90-day, 12% note from a customer to settle his account. What entry should be made on the November 1 to record the acceptance of the note?
A. Debit Note Receivable $11,300; credit Sales $11,300. B. Debit Sales $11,300; credit Accounts Receivable $11,300. C. Debit Note Receivable $11,300; credit Accounts Receivable $11,300. D. Debit Note Receivable $11,639; credit Accounts Receivable $11,300; credit Interest Revenue $339. E. Debit Note Receivable $11,300; credit Cash $11,300.
All but one of the following are characteristics of measurable office activities. Which one is not a characteristic?
A. The activities must be isolated. B The activities must be countable. C The activities must be justifiable. D. The activities must involve judgment and decision-making.
Downie Foods recently completed a 4-for-1 stock split. Prior to the split, its stock sold for $120 per share. If the firm's total market value increased by 5% as a result of increased liquidity caused by the split, what was the stock price following the split?
A. $28.43 B. $29.93 C. $31.50 D. $33.08 E. $34.73
In selling a commercial building, Birdie tells Colt that the property has a certain capacity, making it suitable for a nightclub. Birdie knows nothing about the capacity of the building, but it is not as she specifies. Colt buys the building. ?Refer to Fact Pattern 14-4. On learning the truth, Colt confronts Birdie, who says she was not trying to fool him-she was only trying to make a sale
This is A) a mistake of value. B) a valid defense to a charge of fraud. C) misrepresentation. D) unconscionable.