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Pavilion Corporation has $8 million in current assets and $2 million in current liabilities. Its initial inventory level is $2 million, and it will raise
Pavilion Corporation has $8 million in current assets and $2 million in current liabilities. Its initial inventory level is $2 million, and it will raise funds as additional notes payable and use them to increase inventory. How much can PC's short-term debt (notes payable) increase without pushing its current ratio below 3? (Round to the nearest cent.)
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