Which one of the following will decrease the net working capital of a firm? Assume the current ratio is greater than 1.0.

Which one of the following will decrease the net working capital of a firm? Assume the current ratio is greater than 1.0.    A.  selling inventory at cost B.  collecting payment from a customer C.  paying a payment on a long-term debt D.  selling a fixed asset for book value E.  paying a supplier for the purchase of an inventory item Refer to section 18.1

18.	Which of the following are sources of cash? I. decrease in inventory II. increase in accounts receivable III. repayment of a bond IV. sale of preferred stock    A.  I and III only B.  I and IV only C.  II and III only D.  I, II, and III only E.  I, III, and IV only Refer to section 18.1

19.

Which of the following will increase the operating cycle? I. increasing the inventory turnover rate II. increasing the payables period III. decreasing the receivable turnover rate IV. decreasing the inventory level    A.  I only B.  III only C.  II and IV only D.  I and IV only E.  II and III only Refer to section 18.2

20.

Which one of the following equals the operating cycle?    A.  cash cycle plus accounts receivable period B.  inventory period plus the accounts receivable period C.  inventory period plus the accounts payable period D.  accounts payable period minus the cash cycle E.  accounts payable period plus the accounts receivable period Refer to section 18.2

21.

Which one of the following will decrease the operating cycle?    A.  decreasing the inventory turnover rate B.  decreasing the accounts payable period C.  increasing the accounts receivable turnover rate D.  increasing the accounts payable period E.  increasing the accounts receivable period Refer to section 18.2