1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
o-na [289]
3 years ago
9

A firm has $600,000 in current assets and $150,000 in current liabilities. Which of the following is correct if it uses cash to

pay off $50,000 in accounts payable?
1) Current ratio will increase to 5.0.
2) Net working capital will increase to $500,000.
3) Current ratio will decrease.
4) Net working capital will not change.
Business
1 answer:
Molodets [167]3 years ago
4 0

Answer:

4) Net working capital will not change.

Explanation:

The best answer to the question is the 4th option. The net working capital will not be changed if company would be usingcash to pay off their accounts payable. Also the difference that exists between current assets and current liabilities will also stay the same way as it was before. current ratio will go up to 5.5.

Thank you.

You might be interested in
In a question related to approval of President George W. Bush's plan to save social security, the interviewer asks, "Don't you a
olga_2 [115]

Answer: The correct answer is d) Frame of reference.

Explanation: Frame of reference refers to a set of criteria or stated values used in measurements or inferring judgements.

The question "Don't you agree that something must be done to save social security?" is a typical case of a frame of reference as it can be inferred that the interviewer already had a frame of mind as such was leading the President.

5 0
3 years ago
What is telemarketing?
jasenka [17]

Answer:

Using the telephone or the Internet to promote products or services to prospective clients is known as telemarketing. Outbound calls, inbound calls, lead generation calls, and sales calls are the four most prevalent types of telemarketing calls.

Explanation:

Hope it helps:)

8 0
3 years ago
Read 2 more answers
Three years ago, you invested $2,750. Today, it is worth $3,500. What rate of interest did you earn?
Ket [755]

Answer:

Rate of interest is 8.37%

Explanation:

Future Value = PV(1+r)^{3}

3,500 = 2750 (1+r)^{3}

\frac{3500}{2750} = (1+r)^{3}

\sqrt[3]{\frac{3500}{2750}} = \sqrt[3]{(1+r)^{3}}

1.0837 = 1+r

r = 1.0837 - 1

r = 0.0837

r = 8.37%

Check:

3500 = 2750 (1+0.0837)^{3}

3500 = 3500

6 0
3 years ago
Bailey Industries expects sales for​ January, February, and March to be​ $220,000, $260,000, and​ $300,000 respectively. It is e
OlgaM077 [116]

Answer:

The correct answer is D.

Explanation:

Giving the following information:

Sales:

January=$220,000

February= $260,000

It is expected that​ 75% of its sales will be collected in cash during the month of​ sale, and the remaining​ 25% will be collected in the month following the sale.

<u>Cash collection:</u>

From January= 220,000*0.25= 55,000

From February= 260,000*0.75= 195,000

Total cash collection= $250,000

3 0
3 years ago
The real risk-free rate is 3%, and inflation is expected to be 3% for the next 2 years. A 2-year Treasury security yields 6.2%.
den301095 [7]

Answer:

0.2%

Explanation:

The real risk-free rate is 3%, and inflation is expected to be 3% for the next 2 years; so the risk-free rate is 6%.

The maturity risk premium is the different between return on investment and same tenor investment

= Treasury security yields 6.2% - risk free rate 6%

= 6.2% - 6% = 0.2%

4 0
3 years ago
Other questions:
  • When manufacturers try to understand what customers are looking for, they are thinking about the _______ component of the produc
    9·1 answer
  • Upland Company borrowed $40,000 on November 1, 2017, by signing a $40,000, 9%, 3-month note. Prepare Upland’s November 1, 2017,
    6·1 answer
  • Trade increases production partly by taking advantage of
    5·1 answer
  • Kathy Bates has just moved into a condominium complex of 60 units. The complex has a swimming pool, and a management company tak
    15·1 answer
  • REM Consulting is completing the accounting information processing at the end of the fiscal year, December 31. The following tri
    7·1 answer
  • For each of the following types of indirect expenses and service department expenses, identify one allocation basis that could b
    13·1 answer
  • Broker A is a sole proprietor. He quits business and goes to work under Broker B. Whose responsibility is it to keep Broker A’s
    13·1 answer
  • A job was timed for 60 cycles and had an average of 1.2 minutes per piece. The performance rating was 95 percent, and workday al
    8·1 answer
  • If someone is discriminated by a law based on gender, the burden is on the state to show that the law is substantially related t
    14·2 answers
  • MNO preferred stock pays a dividend of $2 per year and has a price of $20. If MNO's tax rate is 21 percent, the required rate of
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!