If a company has negative working capital, its current assets ________ its current liabilities.
A)equal
B)are divided by
C)are less than
D)are greater than

Name: If a company has negative working capital, its current assets ________ its current liabilities. A)equal B)are divided by C)are less than D)are greater than
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Question

Quizplus · Accepted Answer

Negative working capital means that current liabilities exceed current assets. Therefore, the current assets are less than the current liabilities.

If a Company Has Negative Working Capital, Its Current Assets