Williams Co. has a working capital of $2,000,000, which of the following will cause its working...
Williams Co. has a working capital of $2,000,000, which of the following will cause its working capital to decrease? (Choose answer below)
Group of answer choices
Purchased $150,000 of inventory on credit
Recorded interest payable in the amount of $150,000
Borrowed $150,000 from a bank to be repaid in 90 days
Paid wages payable in the amount of $150,000
Homework Answers
Working capital = Current assets - Current liabilities
Interest payable recorded increases the current liabilities which decreases the working capital.
The answer is Recorded interest payable in the amount of $150,000
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Williams Co. has a working capital of $2,000,000, which of the
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FININ ACCTQ... References Mailings Review View Help 6. If Einscher Toys has working capital of $2,000,000, which of the following will cause its working capital to decrease? A) Recorded interest payable in the amount of $150,000 B) Paid wages payable in the amount of $150,000 C) Borrowed $150,000 from a bank to be repaid in 90 days D) Purchased $150,000 of inventory on credit DELL
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following transactions, determine whether the debt-to-assets ratio
will increase, decrease, or remain the same, and enter the value of
the new debt-to-assets ratio. Each item is independent.
(Round your answers to 2 decimal places.)
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Required information [The following information applies to the questions displayed below.] Tyrell Co. entered into the following transactions involving short-term liabilities in 2016 and 2017 2016 Apr. 20 Purchased $38,500 of merchandise on credit from Locust, terms n/30. Tyrell uses the perpetual inventory system. May 19 Replaced the April 20 account payable to Locust with a 90-day, $35,000 note bearing 78 annual interest along with paying $3,500 in cash. July 8 Borrowed $69,000 cash from NBR Bank by signing a...
Required information The following information applies to the questions displayed below] Tyrell Co. entered into the...
Required information The following information applies to the questions displayed below] Tyrell Co. entered into the following transactions involving short-term liabilities in 2016 and 2017. 2016 Apr 20 Purchased $37,500 of merchandise on credit from Locust, terms n/30. Tyrell uses the perpetual inventory System. 19 Replaced the April 20 account payable to Locust with a 90-day, $35,000 note bearing 8 annual interest along with paying $2,500 in cash 8 Borrowed $60,000 cash from NBR Bank by signing a 120-day, 118...
FININ ACCTQ... References Mailings Review View Help 6. If Einscher Toys has working capital of $2,000,000, which of the following will cause its working capital to decrease? A) Recorded interest payable in the amount of $150,000 B) Paid wages payable in the amount of $150,000 C) Borrowed $150,000 from a bank to be repaid in 90 days D) Purchased $150,000 of inventory on credit DELL
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BSO, Inc., has assets of $830,000 and liabilities of $622,500
resulting in a debt-to-assets ratio of 0.75. For each of the
following transactions, determine whether the debt-to-assets ratio
will increase, decrease, or remain the same, and enter the value of
the new debt-to-assets ratio. Each item is independent.
(Round your answers to 2 decimal places.)
Debt-to- Assets Ratio a. Purchased $66,000 of new inventory on credit. b. Paid accounts payable in the amount of $119,000. c. Recorded accrued salaries in...
BSO, Inc., has assets of $750,000 and liabilities of $562,500 resulting in a debt-to-assets ratio of 0.75. For each of the following transactions, determine whether the debt-to-assets ratio will increase, decrease, or remain the same, and enter the value of the new debt-to-assets ratio. Each item is independent. (Round your answers to 2 decimal places.) Debt-to- Assets Ratio Purchased $50,000 of new inventory on a. credit. Paid accounts payable in the amount of $95,000 Recorded accrued salaries in the amount...
Check my work BSO, Inc., has assets of $790,000 and liabilities of $592,500 resulting in a debt-to-assets ratio of 0.75. For each of the following transactions, determine whether the debt-to-assets ratio will increase, decrease, or remain the same, and enter the value of the new debt-to-assets ratio. Each item is independent. (Round your answers to 2 decimal places.) Debt-to-Assets Ratio a. Purchased $58,000 of new inventory on credit. b. Paid accounts payable in the amount of $107,000. c. Recorded accrued...
Required information [The following information applies to the questions displayed below) Tyrell Co. entered into the following transactions involving short-term liabilities Year 1 Apr. 20 Purchased $38,000 of merchandise on credit from Locust, terms n/30. May 19 Replaced the April 20 account payable to Locust with a 90-day, 7%, 535,200 note payable along with paying $3,000 in cash. July 8 Borrowed $60,000 cash from NSR Bank by signing a 120day, 12%, $60,000 note payable. ? Paid the amount due on...
Tyrell Co. entered into the following transactions involving short-term liabilities in 2016 and 2017 2016 Apr. 20 Purchased $37,000 of merchandise on credit from Locust, terms n/30. Tyrell uses the perpetual May 19 Replaced the April 20 account payable to Locust with a 90-day, S35.000 note bearing 8% annual July 8 Borrowed $69,000 cash from NBR Bank by signing a 120-day, 10% interest-bearing note with a face inventory system. interest along with paying $2,000 in cash. value of $69, 000....
Required information [The following information applies to the questions displayed below.] Tyrell Co. entered into the following transactions involving short-term liabilities in 2016 and 2017 2016 Apr. 20 Purchased $38,500 of merchandise on credit from Locust, terms n/30. Tyrell uses the perpetual inventory system. May 19 Replaced the April 20 account payable to Locust with a 90-day, $35,000 note bearing 78 annual interest along with paying $3,500 in cash. July 8 Borrowed $69,000 cash from NBR Bank by signing a...
Required information The following information applies to the questions displayed below] Tyrell Co. entered into the following transactions involving short-term liabilities in 2016 and 2017. 2016 Apr 20 Purchased $37,500 of merchandise on credit from Locust, terms n/30. Tyrell uses the perpetual inventory System. 19 Replaced the April 20 account payable to Locust with a 90-day, $35,000 note bearing 8 annual interest along with paying $2,500 in cash 8 Borrowed $60,000 cash from NBR Bank by signing a 120-day, 118...
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