3. Sources and uses of cash (S30.2) What will be the effect of each of the following...

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3. Sources and uses of cash (S30.2) What will be the effect of each of the following transactions on cash, net working capital, and the current ratio? Assume that the current ratio is above 1.0.

a. The firm borrows $1,000 in a short-term loan from its bank and pays $500 in accounts payable.

b. The firm issues $1,000 in long-term bonds and uses the proceeds to pay $800 in payables and purchase $200 in marketable securities.

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Principles Of Corporate Finance

ISBN: 9781264080946

14th Edition

Authors: Richard Brealey, Stewart Myers, Franklin Allen, Alex Edmans

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Question Posted: Jul 31, 2024 09:01 AM

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3. Sources and uses of cash (S30.2) What will be the effect of each of the following...

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Principles Of Corporate Finance

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