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Which of the Following Correctly Reflects the Effects on the Financial

Question 37

Multiple Choice

Which of the following correctly reflects the effects on the financial statements caused by the increase in market price of a current investment in equity securities?


A) Current ratio and earnings per share decrease.
B) Current ratio and earnings per share increase.
C) Current ratio is unchanged but earnings per share decrease.
D) Current ratio decreases and earnings per share are unchanged.

Correct Answer:

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