If Sarhan Corporation has a current ratio of 2.0, which transaction will normally increase Sarhan's current ratio?

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If Sarhan Corporation has a current ratio of 2.0, which transaction will normally increase Sarhan's current ratio?

a. Making a sale to a customer on account

b. Paying a long-term note payable off with cash

c. Receiving cash from customers on accounts receivables

d. Purchasing new equipment by issuing a long-term notes payable

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Managerial Accounting

ISBN: 12

2nd Edition

Authors: Karen Braun, Linda S Bamber

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