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ir Option 2 is implemented, the current ratio and quick ratio will decrease Option 2, which causes equal changes in current assets and current liabilities,

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ir Option 2 is implemented, the current ratio and quick ratio will decrease Option 2, which causes equal changes in current assets and current liabilities, has a proportionally smaller effect on current assets. The increase in cash is offset by the decrease in accounts receivable Choose an option below: O Original Text decrease Option 2, which causes equal changes in current assets and current liabilities, has a proportionally smaller effect on current assets. The increase in cash is offset by the decrease in accounts receivable. o increase. The percentage increase in current liabilities is smaller than the increase in current assets. O increase. The establishment of zero balance account increases current assets. O remain the same. The increase in accounts payable is offset by the increase in cash, RESET CANCEL ACCEPT Also, il Option 2 is implemented working capital will increase. Accounts payable and cash will increase. Choose an option below: o Original Text increase. Accounts payable and cash will increase o increase. Current assets will increase. o increase. Accounts payable will decrease and cash will increase O decrease. Accounts payable will increase and cash will decrease. decrease. The increase in current assets is less than the increase in current liabilities RESET CANCEL ACLEFT 1 Option 3 is implemented, the quick ratio and working capital will increase. Accounts receivable and cash will increase. Under all three options, the average collection period will decrease Choose an option below: O fOriginal Text] all three options, the average collection period will decrease. O all three options, the average collection period will increase. Options 1 and 2, the average collection period will decrease Options 1 and 3, the average collection period will decrease Options 2 and 3, the average collection period will decrease. CANCEL RESET Scroll down to complete all parts of this task. You are the staff accountant of Aaron Co. Please review the documents and revise the ema below, correcting any errors. To revise the document, click on each segment of underlined text below and select the needed correction, if any, from the list provided. If the underlined text is already correct in the context of the document, select [Original Text] from the list. If removal of the underlined text is the best revision to the document, select [Delete Text] from the list if available. To: Katie Pearson, Accounting Manager From: Jim Strong Staff Accountant RE: New plan's effect on liquidity ratio Date: January 4, Year 7 Good morning Katie, I have reviewed the financial statements. Please see my analysis of the three options below. If we implement Option 1, the current ratio and the quick ratio will increase. Accounts receivable, accounts payable, and cash will increase. Choose an option below. O [Original Text) and the quick ratio will increase. Accounts receivable, accounts payable, and cash will increase. O and the quick ratio will increase. Option 1, which causes equal changes in current assets and current liabilities, has a proportionally greater effect on current assets. O and the quick ratio will remain the same. The decrease in accounts receivable and the increase in accounts payable are offset by the increase in cash. O will increase, but the quick ratio will decrease because the quick ratio excludes inventories from the numerator. O and the quick ratio will decrease Option 1, which causes equal changes in current assets and current liabilities, has a proportionally greater effect on current liabilities. RESET CANCEL ACCEPT if we implement Option 1 working capital will remain the same because the increase in cash is offset by the decrease in accounts receivable and the increase in accounts payable Choose an option below [Original Text remain the same because the increase in cash is offset by the decrease in accounts receivable and the increase in accounts payable. increase because accounts receivable accounts payable and cash will increase o remain the same because the increase in cash is offset by the decrease in accounts receivable. Accounts payable will remain the same decrease because the increase in the current liabilities is greater than the increase in the current assets o increase because the increase in the current Habilities is smaller than the increase in the current assets RESET CANCEL ACCEST if Option 2 is implemented the current radio and quick ratio wil decrease Option 2 Which causes equal changes in current assets and current abilities has a proportionally smaller effect on current assets. The increase in cash is offset by the decrease in accounts receivable Choose an option below Originals Text decrease Option 2 which causes equal changes in current assets and current habilities, has a proportionally smaller effect on current assets. The Increase in cash is offset by the decrease in accounts receivable. increase. The percentage increase in currentibes is smaller than the increase in current assets increase. The establishment of a zero-balance account increases current assets. remain the same. The increase in accounts payable is offset the increase in cash RESET CANCE ACCEST Also, it Option 2 is implemented working capital will increase Accounts payable and cash will increase Choose an option below. Original Text increase Accounts payable and cash will increase Increase Current assets will increase increase Accounts payable will decrease and cash we increase decrease. Accounts payable will increase and cash will decrease decrease. The increase in current assets is less than the increase in current sabilities RESET Type here to search o O TT Choose an option below. o [Original Text) and working capital will increase Accounts receivable and cash will increase will remain the same, but working capital will increase. and working capital will remain the same. Current assets will remain the same O and working capital will remain the same. The increase in current assets is equal to the increase in current liabilities will increase, but working capita will remain the same. RESET CANCEL ACCEPT Under all three options, the average collection period will decrease. Choose an option below. o [Original Text] all three options, the average collection period will decrease O all three options, the average collection period will increase Options 1 and 2, the average collection period will decrease. Options 1 and 3, the average collection period will decrease. Options 2 and 3, the average collection period will decrease. RESET CANCEL ACCEPT Please let me know if you have any questions, im ir Option 2 is implemented, the current ratio and quick ratio will decrease Option 2, which causes equal changes in current assets and current liabilities, has a proportionally smaller effect on current assets. The increase in cash is offset by the decrease in accounts receivable Choose an option below: O Original Text decrease Option 2, which causes equal changes in current assets and current liabilities, has a proportionally smaller effect on current assets. The increase in cash is offset by the decrease in accounts receivable. o increase. The percentage increase in current liabilities is smaller than the increase in current assets. O increase. The establishment of zero balance account increases current assets. O remain the same. The increase in accounts payable is offset by the increase in cash, RESET CANCEL ACCEPT Also, il Option 2 is implemented working capital will increase. Accounts payable and cash will increase. Choose an option below: o Original Text increase. Accounts payable and cash will increase o increase. Current assets will increase. o increase. Accounts payable will decrease and cash will increase O decrease. Accounts payable will increase and cash will decrease. decrease. The increase in current assets is less than the increase in current liabilities RESET CANCEL ACLEFT 1 Option 3 is implemented, the quick ratio and working capital will increase. Accounts receivable and cash will increase. Under all three options, the average collection period will decrease Choose an option below: O fOriginal Text] all three options, the average collection period will decrease. O all three options, the average collection period will increase. Options 1 and 2, the average collection period will decrease Options 1 and 3, the average collection period will decrease Options 2 and 3, the average collection period will decrease. CANCEL RESET Scroll down to complete all parts of this task. You are the staff accountant of Aaron Co. Please review the documents and revise the ema below, correcting any errors. To revise the document, click on each segment of underlined text below and select the needed correction, if any, from the list provided. If the underlined text is already correct in the context of the document, select [Original Text] from the list. If removal of the underlined text is the best revision to the document, select [Delete Text] from the list if available. To: Katie Pearson, Accounting Manager From: Jim Strong Staff Accountant RE: New plan's effect on liquidity ratio Date: January 4, Year 7 Good morning Katie, I have reviewed the financial statements. Please see my analysis of the three options below. If we implement Option 1, the current ratio and the quick ratio will increase. Accounts receivable, accounts payable, and cash will increase. Choose an option below. O [Original Text) and the quick ratio will increase. Accounts receivable, accounts payable, and cash will increase. O and the quick ratio will increase. Option 1, which causes equal changes in current assets and current liabilities, has a proportionally greater effect on current assets. O and the quick ratio will remain the same. The decrease in accounts receivable and the increase in accounts payable are offset by the increase in cash. O will increase, but the quick ratio will decrease because the quick ratio excludes inventories from the numerator. O and the quick ratio will decrease Option 1, which causes equal changes in current assets and current liabilities, has a proportionally greater effect on current liabilities. RESET CANCEL ACCEPT if we implement Option 1 working capital will remain the same because the increase in cash is offset by the decrease in accounts receivable and the increase in accounts payable Choose an option below [Original Text remain the same because the increase in cash is offset by the decrease in accounts receivable and the increase in accounts payable. increase because accounts receivable accounts payable and cash will increase o remain the same because the increase in cash is offset by the decrease in accounts receivable. Accounts payable will remain the same decrease because the increase in the current liabilities is greater than the increase in the current assets o increase because the increase in the current Habilities is smaller than the increase in the current assets RESET CANCEL ACCEST if Option 2 is implemented the current radio and quick ratio wil decrease Option 2 Which causes equal changes in current assets and current abilities has a proportionally smaller effect on current assets. The increase in cash is offset by the decrease in accounts receivable Choose an option below Originals Text decrease Option 2 which causes equal changes in current assets and current habilities, has a proportionally smaller effect on current assets. The Increase in cash is offset by the decrease in accounts receivable. increase. The percentage increase in currentibes is smaller than the increase in current assets increase. The establishment of a zero-balance account increases current assets. remain the same. The increase in accounts payable is offset the increase in cash RESET CANCE ACCEST Also, it Option 2 is implemented working capital will increase Accounts payable and cash will increase Choose an option below. Original Text increase Accounts payable and cash will increase Increase Current assets will increase increase Accounts payable will decrease and cash we increase decrease. Accounts payable will increase and cash will decrease decrease. The increase in current assets is less than the increase in current sabilities RESET Type here to search o O TT Choose an option below. o [Original Text) and working capital will increase Accounts receivable and cash will increase will remain the same, but working capital will increase. and working capital will remain the same. Current assets will remain the same O and working capital will remain the same. The increase in current assets is equal to the increase in current liabilities will increase, but working capita will remain the same. RESET CANCEL ACCEPT Under all three options, the average collection period will decrease. Choose an option below. o [Original Text] all three options, the average collection period will decrease O all three options, the average collection period will increase Options 1 and 2, the average collection period will decrease. Options 1 and 3, the average collection period will decrease. Options 2 and 3, the average collection period will decrease. RESET CANCEL ACCEPT Please let me know if you have any questions, im

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