Question
Alpha Company had current assets of $120, and current liabilities of $100. This gives them working capital of $20, and a current ratio of 1.2.
Alpha Company had current assets of $120, and current liabilities of $100. This gives them working capital of $20, and a current ratio of 1.2. What will be the effect of paying off $30 of accounts payable?
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Advanced Financial Accounting
Authors: Richard Baker, Valdean Lembke, Thomas King, Cynthia Jeffrey
7th Edition
0073526746, 978-0073526744
