A firm paid out a dividend of $700,000 and repaid $1,000,000 notes payable (due for 90 days.) The net effect of these transactions on the firm's net working capital is:

A) decrease of $300,000
B) decrease of $1,000,000
C) decrease of $1,700,000
D) decrease of $700,000

Answer: D) decrease of $700,000

Business

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Which statement about perceptual sets is most likely FALSE?

A. Perceptual sets can influence any of our senses. B. Perceptual sets are the tendency to perceive everything. C. Feelings and needs can trigger a perceptual set. D. Prior experiences can cause a perceptual set.

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Which of the different sharing arrangements for limited partnerships between the general partners (GPs) and the limited partners (LPs) is generally considered the most common?

A) Overriding royalty interest B) Carried interest C) Functional allocation D) Net operating profits interest

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