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You work for a bank. A company is asking you to finance a short term project and is ready to repay back the loan in
You work for a bank. A company is asking you to finance a short term project and is ready to repay back the loan in less than a year. It has $130,000 of current assets and $90,000 of current liability. a. Select one: You accept as 130,000 of current assets is more than satisfactory for the liquidity check. O b. You need to have a closer look at the long term liability as this one might affect the liquidity of the business. You refuse as 130,000 of current assets is not satisfactory for the liquidity check. d. You need to have a closer look as you don't know the amount of inventory and prepaid expenses in the current assets. C
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