McqMate
Q. |
Which asset-liability combination would most likely result in the firm's having the greatest risk of technical insolvency? |
A. | Increasing current assets while lowering current liabilities. |
B. | Increasing current assets while incurring more current liabilities. |
C. | Reducing current assets, increasing current liabilities, and reducing long-term debt. |
D. | Replacing short-term debt with equity. |
Answer» C. Reducing current assets, increasing current liabilities, and reducing long-term debt. |
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