Net working capital is defined as (select one): A. current assets minus current liabilities. B. a ratio measure of liquidity best used in cross-sectional analysis. C. current liabilities minus current assets. D. the portion of the firm's assets financed with short-term funds.
Net working capital is defined as (select one): A. current assets minus current liabilities. B. a ratio measure of liquidity best used in cross-sectional analysis. C. current liabilities minus current assets. D. the portion of the firm's assets financed with short-term funds.
Chapter2: Introduction To Financial Statements
Section: Chapter Questions
Problem 17MC: Working capital is an indication of the firms ________. A. asset utilization B. amount of noncurrent...
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Question
Net
A. |
current assets minus current liabilities.
|
|
B. |
a ratio measure of liquidity best used in cross-sectional analysis.
|
|
C. |
current liabilities minus current assets.
|
|
D. |
the portion of the firm's assets financed with short-term funds. |
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