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6. Marx Mara Company, a London-based retailer, has a current ratio of 2:1. Which of the following transactions will cause the ratio to decrease? a.

6. Marx Mara Company, a London-based retailer, has a current ratio of 2:1. Which of the following transactions will cause the ratio to decrease?

a. When it declares a 10% stock dividend on its common stock

b. When it receives cash from a customer on account

c. When it pays a creditor on account

d. When it purchases merchandise on account

e. None of the above.

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