Your Company decides to clean up its books at the end of the year. You collect $5,000 in receivables and use all of it to pay down $5,000 in payables due to your vendors. What is the effect on the current ratio and on working capital?

A) Current Ratio increases, working capital decreases by $5000.

B) Current Ratio decreases, working capital increases by $5000.

C) Current Ratio remains the same, working capital increases by $5000.

D) Current Ratio remains the same, working capital decreases by $5000