Which of the following actions will cause a firm's net working capital to decrease?
A) The firm relaxes its credit policy.
B) The firm increases its usage of accruals.
C) The firm pays off a short-term bank loan with cash.
D) None of the options will cause a firm's net working capital to decrease.

Question

Quizplus · Accepted Answer

The Answer of Which of the following actions will cause a firm's net working capital to decrease?
A) The firm relaxes its credit policy.
B) The firm increases its usage of accruals.
C) The firm pays off a short-term bank loan with cash.
D) None of the options will cause a firm's net working capital to decrease.

Which of the Following Actions Will Cause a Firm's Net