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2. (Four-step sequence) A company with $25 million of permanent current assets has $4 million of low-cost current financing opportunities. How much additional short-term financing

2. (Four-step sequence) A company with $25 million of permanent current assets has

$4 million of low-cost current financing opportunities. How much additional short-term financing should it raise if its target

current ratio is:

a. 1.8?

b. 2.0?

c. 2.4?

d. 2.8?

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