Multiple Choice
Use the following information for questions
Cooney Corporation had $275,000 in current assets and $105,000 in current liabilities before borrowing $75,000 from the bank for a 6-month period.
-What effect did the borrowing transaction have on Cooney's current ratio?
A) The ratio remained unchanged.
B) The change in the current ratio cannot be determined.
C) The ratio decreased.
D) The ratio increased.
Correct Answer:
Verified
Correct Answer:
Verified
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