Increase the spontaneous liabilities of the firm
Course:- Financial Management
Reference No.:- EM13943008

Assignment Help
Assignment Help >> Financial Management

Which of the following alternatives would increase the spontaneous liabilities of the firm.

1) Increasing accounts payable turnover ratio.

2) Switching from weekly wage payments to employees to one month periods.

3) None of the choices.

4) Making more cash purchases from the suppliers.

5) Burrowing from banks to reduce the accounts payable balance.

Put your comment

Ask Question & Get Answers from Experts
Browse some more (Financial Management) Materials
A trader buys 200 shares of a stock on margin. The price of the stock is $20. The initial margin is 60% and the maintenance margin is 30%. How much money does the trader have
The owners of a local coffee shop, Park Coffee House, are considering the purchase of a teahouse. Park is currently financed with 40% debt at a rate of 12.2%. It projects its
What are bond ratings and How do they impact bond valuation - who are the bond ratings agencies and what do the ratings mean? When ratings fall what happens to the valuation
You buy a share of The Ludwig Corporation stock for $22.00. You expect it to pay dividends of $1.01, $1.17, and $1.3553 in Years 1, 2, and 3, respectively, and you expect to s
Assets transferred to which of the following trusts will be included at the time of the grantor’s death in the grantor’s gross estate for federal estate tax purposes?
ABC Company has annual sales of $180,043 and cost of goods sold of $44,437. The average accounts receivable balance is $13,627. How many days on average does it take the firm
One year ago you bought Excellent stock for $81.00 per share. You received four quarterly dividends over the past year of $1.21 each. Now the stock is selling for $73.00 per s
A productivity index of 110% means that a company’s labor costs would have been 10% higher if it had not made production improvements. Assume that Baldwin had a productivity i