Question 3 1 pts Maria Company's current ratio is 1.8. Considered alone, which of the following actions would lower the current ratio? Use cash to reduce short-term notes payable. Purchase inventory with cash. Borrow using short-term notes payable and use the proceeds to reduce accruals. Use cash to reduce accounts payable. Borrow using short-term notes payable and use the proceeds to buy fixed assets. Question 4 1 pts A firm wants to strengthen its financial position. Which of the following actions would increase its current ratio? Use cash to purchase raw materials inventory. Use cash to repurchase some of the company's own shares. Reduce the company's days' sales outstanding to the industry average and use the resulting cash savings to purchase plant and equipment Issue new shares, then use some of the proceeds to purchase fixed assets and hold the remainder as cash. Borrow using short-term debt and use the proceeds to repay debt that has a maturity of more than one year. Question 5 1 pts Companies E and Peach reported the same earnings per share (EPS), but Company E's stock trades at a lower price. Which of the following statements is CORRECT? Company E probably has more growth opportunities. Company E is probably judged by investors to be less risky. Company E must have a lower market-to-book ratio. Company E trades at a lower P/E ratio. Company E must pay a higher dividend