Question
Little Prick Needle Company issued new common stock earlier this year. The stock provided capital to pay down vendors for inventory purchases that are needed
Little Prick Needle Company issued new common stock earlier this year. The stock provided capital to pay down vendors for inventory purchases that are needed for a project later in the year. The inventories are already included on the balance sheet so there is no impact on the total assets or the company's operating income. This action would lead to which of the following?
Group of answer choices
The company's return on assets increased.
The company's debt ratio increased.
The company's inventory turnover increased.
The company's times interest earned ratio decreased.
The company's current ratio increased.
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