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Which of the Following Items Will Lead to a Rise

Question 4

Multiple Choice

Which of the following items will lead to a rise in net working capital?
A. Raw materials are purchased prior to the sale of finished goods
B. The firm increases its cash balance
C. The firm makes a sale on credit
D. The firm buys inventory on credit
E.Short-term interest rates fall


A) A,B,C
B) A,B,D,E
C) A,C
D) A,B,C,D

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