Table 152 the Company Earns 5 Percent on Current Assets

Multiple Choice

Table 15.2 The company earns 5 percent on current assets and 15 percent on fixed assets. The firm's current liabilities cost 7 percent to maintain and the average annual cost of long-term funds is 20 percent.
-The firm would like to increase its current ratio. This goal would be accomplished most profitably by ________. (See Table 15.2)

A) increasing accounts payable
B) decreasing inventory
C) increasing accounts receivable
D) decreasing cash and cash equivalents