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A Company with Working Capital of $600,000 and a Current

Question 12

Multiple Choice

A company with working capital of $600,000 and a current ratio of 3.25 pays a $200,000 short-term liability.The amount of working capital immediately after payment is:


A) $400,000.
B) $800,000.
C) $600,000.
D) $200,000.

Correct Answer:

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