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quesuu 14 2 pts Managers must understand how transactions affect working capital because GAAP does not allow companies with weak working capital to obtain loans.

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quesuu 14 2 pts Managers must understand how transactions affect working capital because GAAP does not allow companies with weak working capital to obtain loans. because lenders often use this to assess a company's ability to meet current obligations so that management can avoid transactions that increase working capital. in anticipation of meeting creditors guidelines before issuing new stock D Question 15 2 pts The current ratio fails to accurately reflect the ability of a company to pay its current debts as they come due amounts that will come due within the next accounting period. amounts due within the next operating cycle as of the end of the accounting period. cash flows anticipated in future accounting periods

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