True or False?

Year #1: Cash 100 = + long-term debt 100 + capital stock 100 + opening retained earnings 0 + net income 100 + accounts payable 100 current assets other than cash 100 fixed assets 200.

Year #2: Cash 100 = + long-term debt 0 + capital stock 100 + opening retained earnings 100 + net income 100 + accounts payable 100 + short-term debt 100 current assets other than cash 100 fixed assets 300.

The company improved its current liquidity position in Year #2 by paying off long-term debt.