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    Business
  3. Study Set
    Principles of Managerial Finance
  4. Exam
    Exam 15: Working Capital and Current Assets Management
  5. Question
    Too Much Investment in Current Assets Reduces Firm Profitability, Whereas
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Too Much Investment in Current Assets Reduces Firm Profitability, Whereas

Question 261

Question 261

True/False

Too much investment in current assets reduces firm profitability, whereas too little investment in current assets increases the risk of not being able to pay debts as they come due.

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