1-A companys profitability may suffer from holding too much working capital. This statement is

A. True

B. False

And fully explain your answer with at least 3 sentences.

2-A company that does not have enough assets to pay its liabilities is insolvent. This statement is

A. True

B. False

And fully explain the concept insolvent with at least 3 sentences.

3-The higher a companys plant assets to long-term liabilities ratio, the greater its borrowing capacity. This statement is

A. True

B. False

Fully describe your answer with at least 3 sentences.