Riley Manufacturing has a current ratio of 3:1 on December 31, Year 3. Indicate whether each of the following transactions would increase (+), decrease (−), or have no effect (NA) on Riley’s current ratio and its working capital.

Required

a. Paid cash for a trademark.

b. Wrote off an uncollectible account receivable.

c. Sold equipment for cash.

d. Sold merchandise at a profit (cash).

e. Declared a cash dividend.

f. Purchased inventory on account.

g. Scrapped a fully depreciated machine (no gain or loss).

h. Issued a stock dividend.

i. Purchased a machine with a long-term note.

j. Paid a previously declared cash dividend.

k. Collected accounts receivable.

l. Invested in current marketable securities.