Pepsi Corporation's current ratio is currently 1.0, whereas Coke's current ratio is 1.5. Both companies want to "fix" these ratios. In order to do that, they both double their short-term debts and deposit the funds they get into a bank account. Which of the following statements best describes this year?

Group of answer choices

These measures have no effect on the working capital ratios of the companies.

Only Coke's working capital ratio decreases.

None of these are correct

The current ratio of both companies is decreasing.

The current ratio of both companies is increasing.

Only Pepsi's working capital ratio increases.