Special Industries has been notified by its external auditors that a payment made at the end of 2019 had not been recorded in the accounting, for that if it has to have a change in the Financial Statements. This implies a reduction of the effect to US $ 25,000.00 and a reduction in the costs to pay for money. Once this adjustment is made:

Select one: A). The company will exhibit a lower level of cash on its balance sheet. However, the Net Working Capital will remain at the same levels. b. The Net Working Capital will increase, because although it is true that cash will be reduced, cash, which is a more liquid asset, would be increasing accounts payable, they will have the same effect. c. By reducing cash, which is part of current assets, the company will experience a reduction in its Net Working Capital.