A Company's Current Ratio Is 2

Multiple Choice

A company's current ratio is 2.0. Which of the following actions would lower the current ratio, assuming everything else remains the same?

A) Borrow using short-term notes payable and use the proceeds to reduce accruals.
B) Borrow using short-term notes payable and use the proceeds to reduce long-term debt.
C) Use cash to reduce accruals.
D) Use cash to reduce accounts payable.