A Company with $60,000 in Current Assets and $40,000 in Current

Multiple Choice

A company with $60,000 in current assets and $40,000 in current liabilities pays a $1,000 current liability.As a result of this transaction, the current ratio and working capital will:

A) remain the same and decrease, respectively.
B) increase and remain the same, respectively.
C) both increase.
D) both decrease.