which of the following actions could cause a company's change in net working capital to be negative for a given year

Question

07-09-2022
Business

Answered

Discover the best answers at Westonci.ca, where experts share their insights and knowledge with you. Get detailed answers to your questions from a community of experts dedicated to providing accurate information. Join our platform to connect with experts ready to provide precise answers to your questions in different areas.

which of the following actions could cause a company's change in net working capital to be negative for a given year

Sagot :

We hope you found this helpful. Feel free to come back anytime for more accurate answers and updated information. We appreciate your visit. Our platform is always here to offer accurate and reliable answers. Return anytime. We're dedicated to helping you find the answers you need at Westonci.ca. Don't hesitate to return for more.

Introduction to ProofAssignment: Understanding Parts of ProofsDescribe the main parts of a proof.

A first-magnitude star is 100 times brighter than a sixth magnitude star, which means each difference in magnitude represents a brightness change of 2.51 times.

Imogen (3yrs) has chronic heart disease and tires easily. She has spent most of her short life in and out of hospital. Because she is highly susceptible to infe

Given the following information for Mouse Inc., calculate its profit margin for the year 20x1.\begin{tabular}{|l|l|l|}\hline\[tex]$[/tex] in thousands & [t

A customer wants to be able to connect remotely to his work PC from home. Which Windows editions would allow him to do this? (Choose two.)A. Office B. Home C. P

During their study group session, Camille hears Ben make a joke about their college dean's ethnicity, and she tells Ben that she does not approve of his comment

What criteria are typically used in selecting the face of a solid timber panel for woodworking projects? Select one of the following: A. The side with the least

You are assessing Maria's wound, which has been healing by secondary intention, and observe a mass of connective tissue. You document the presentation of Maria'

¿En qué mes del año es el carnaval de Barranquilla?A. eneroB. febreroC. marzoD. abril

What must be the distance in meters between point charge [tex]$q_1 = 20.8 \mu C$[/tex] and point charge [tex]$q_2 = -69.3 \mu C$[/tex] for the electrostatic for

okpalawalter8 okpalawalter8 · Answer 1 · 2022-09-13T17:31:03-04:00

"Borrow money from the bank using a note payable in nine months" could cause a company's change in net working capital to be negative for a given year. Option A

This is further explained below.

What is net working capital?

Generally, The firm's net working capital is essential because it provides insight into the liquidity of the organization and reveals whether or not it has sufficient funds to meet its immediate financial commitments.

Liquidity is the degree to which an organization is able to meet its current and future financial obligations.

If the figure for the firm's net working capital is zero or greater, then the company is in a position to fulfill its current obligations. If the number is less than zero, then the company is not in a position to meet its current commitments.

In conclusion, If a corporation "borrows money from the bank using a note due in nine months," their change in net working capital for the given year might end up being negative. This is one scenario in which this is a possibility.

Sagot :

What is net working capital?

Other Questions