Mother's Company has current assets of $900,000 and current liabilities of $1,000,000 . Mother's Company's current ratio would be increased by
a. borrowing $100,000 on a line-of-credit (short-term loan).
b. purchase of merchandise inventory costing $100,000 cash.
c. purchase of marketable equity securities for $100,000 cash.
d. paying $100,000 of wages payable.
e. none of the above.
A
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Generally, an increase in a current liability results in an increase in the operating activities category of the cash flow statement
a. True b. False Indicate whether the statement is true or false
Both loss leaders and leader pricing seek to _____
a. maximize a retailer's return on investment b. increase early recovery of cash for a retailer c. reduce marginal competitors through aggressive pricing practices d. increase store traffic and sales of regular markup merchandise
The ability to provide a high level of product availability to customers while carrying very low levels of safety inventory in its supply chain has been a key to success at which company?
A) Compaq B) Hewlett-Packard C) Dell D) Packard-Bell
A company issued 7%, 5-year bonds with a par value of $100,000. The market rate when the bonds were issued was 7.5%. The company received $97,946.80 cash for the bonds. Using the effective interest method, the amount of interest expense for the second semiannual interest period is:
A. $3,673.01. B. $3,679.49. C. $7,000.00. D. $3,500.00. E. $7,346.03.