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Assume that current assets = $ 3 0 0 , 0 0 0 and that current liabilities = $ 1 0 0 , 0 0
Assume that current assets $ and that current liabilities $ If an account payable of $ were paid off, what would be the impact on the
firm's working capital and current ratio?
Working capital would decrease from $ to $ and the current ratio would decrease from to
Working capital would decrease from $ to $ and the current ratio would increase from to
Working capital would remain $ but the current ratio would increase from to
Working capital would remain $ but the current ratio would increase from to
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