Which of the following trends may signal the begin
Which of the following trends may signal the beginning of a liquidity crisis for an entity?
A.A shift from operating debt to financing liabilities.
B.An increase in trade credit and decrease in retained earnings.
C.A shift from operating debt to increases in owners’ contributed capital.
参考解答
Ans:A.
A shift from operating debt to financing liabilities may indicate a company has reduced access to trade credit and may signal the beginning of a liquidity crisis.
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