Which of the following changes in working capital is least likely, given an increase in the overall level of sales?
A)An increase in inventories
B)An increase in accounts payable
C)A decrease in accounts receivable
D)A decrease in accruals

Question

Quizplus · Accepted Answer

An increase in sales typically leads to an increase in accounts receivable, not a decrease, as more sales on credit would result in more outstanding receivables.

Which of the Following Changes in Working Capital Is Least