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  3. Study Set
    Intermediate Financial Management Study Set 2
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    Exam 21: Working Capital Management
  5. Question
    If a Firm Is Involuntarily "Stretching" Its Accounts Payable Then
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If a Firm Is Involuntarily "Stretching" Its Accounts Payable Then

Question 86

Question 86

True/False

If a firm is involuntarily "stretching" its accounts payable then this is one sign that it is undercapitalized, that is, that it needs more working capital for operations.

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