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A firm currently has a of 1.80. Determine the effect of the following on (see four scenarios below). (Assume all other variables are held constant).
A firm currently has a of 1.80. Determine the effect of the following on (see four scenarios below). (Assume all other variables are held constant).
A decrease in cash and equivalents,
A greater portion of the credit line is used,
A decrease in the average daily cash flow,
A decrease in the standard deviation of daily cash flow.
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