The Current Assets of KLM Inc

Multiple Choice

The current assets of KLM Inc. totalled $145,000 while its current liabilities were $200,000. Which of the following best describes KLM's situation?

A) KLM's cash sales were too low during the current year.
B) KLM's spending was too high during the current period.
C) KLM's financial viability is at risk for the current period.
D) KLM's inventory was too high during the current period.
E) KLM's accrued wages were too high during the current period.