"the king carpet company has $ 3 comma 000 comma 000 in cash and a total of $ 12 comma 000 comma 000 in current assets. the firm's current liabilities equal $ 6 comma 000 comma 000 such that the firm's current ratio equals 2.0. the company's managers want to reduce the firm's cash holdings down to $ 1 comma 000 comma 000 by paying $ 500 comma 000 in cash to expand the firm's truck fleet and using $ 1 comma 500 comma 000 in cash to retire a short-term note. if they carry this plan through, what will happen to the firm's current ratio?" Get the answer
Category: statistics | Author: Giiwedin Frigyes