Permanent current assets are not a factor in a manager's decision-making process when all current assets will be

Question

Quizplus · Accepted Answer

Permanent current assets refer to the minimum level of current assets required to operate the business. Since they are self-liquidating, meaning they will generate enough cash to pay off their own liabilities, they do not factor into a manager's decision-making process regardless of how they are financed or whether they are internally or externally financed.

Permanent Current Assets Are Not a Factor in a Manager's