Purchasing inventory increases your accounts payable and the inventory balance. Trade payables are part of current liabilities and inventories are part of current assets. Both the balance of current assets and current liabilities will increase and the net effect on working capital will be zero. Therefore, working capital remains the same.
Cash in bank accounts and cash, including unpaid customer checks. Securities such as US Treasury bills and money market funds. A short-term investment that the company plans to sell within one year. Accounts receivable are less a provision for accounts receivable that are unlikely to be paid.
In short, working capital is the money available to meet current short-term obligations. To ensure your working capital is working effectively, you need to calculate your current situation, anticipate your future needs, and consider how to ensure you always have enough cash.
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First answer - am i willing to share profits with other people
second answer: franchisee
third answer: good records
Answer:
(D) marginal product to increase by 2 units and average product to decrease by 2 units.
Explanation:
When there will be an addition in number of workers then the marginal product that is additional units for each additional worker will increase.
But, at the same time as for calculating the average the units will decrease with the same proportion.
This is because with extra number of workers the denominator for average product will also increase and ultimately.
In the curve the marginal and average product are same level for equilibrium.
Thus, option D is correct.
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