If an organization has a high amount of working capital compared to the industry average, which of the following is most likely true?
If an organization has a high amount of working capital compared to the industry average, which of the following is most likely true?
A . Settlement of short-term obligations may become difficult.
B . Cash may be bed up in items not generating financial value.
C . Collection policies of the organization are ineffective.
D . The organization is efficient in using assets to generate revenue.
Answer: A
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