Question
The Bozeman Company had current assets of $400 and current liabilities of $500 prior to the following transactions: 1. Declaration of a cash dividend, $80
The Bozeman Company had current assets of $400 and current liabilities of $500 prior to the following transactions:
1. Declaration of a cash dividend, $80
2. Service performed on credit, $80
The combined effect of these two transactions will cause what effect on Working Capital and the Working Capital Ratio, respectively?
Select one:
a.
No Effect, Decrease
b.
No Effect, No Effect
c.
Decrease, Decrease
d.
No Effect, Increase
e.
Decrease, Increase
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Horngrens Financial And Managerial Accounting The Financial Chapters
Authors: Tracie L. Miller Nobles, Brenda L. Mattison, Ella Mae Matsumura
6th Edition
9780134486840
