If Accounts Receivable Increase by $1,000,000, Inventory Decreases by $500,000

Multiple Choice

If accounts receivable increase by $1,000,000, inventory decreases by $500,000, and accounts payable increase by $500,000, net working capital would ________.

A) decrease by $500,000
B) increase by $1,500,000
C) increase by $2,000,000
D) experience no change