A. Positive
B. Negative
C. zero
D. None of the given options
Related Mcqs:
- A company having a current ratio of 1 will have ________ net working capital.
A. Positive
B. Negative
C. zero
D. None of the given options - Net investment in operating capital is subtracted from net operating profit after taxes to calculate___________?
A. Relevant inflows
B. Free cash flow
C. Relevant outflows
D. Cash outlay - In capital budgeting, two projects having cost of capital as 12% is classified as __________?
A. hurdle rate
B. capital rate
C. return rate
D. budgeting rate - If a company revaluates its fixed assets, the current ratio of the company will:
A. Improve if assets are revalued upward
B. Remain unaffected
C. Improve if assets are revalued downwards
D. Undergo change only if liabilities are remaining constant - Net income is $2250 and non cash charges are $1150 then net cash flow would be _________?
A. $1,100
B. $3,400
C. $2,200
D. $3,500 - An increase in marginal cost of capital and the capital rationing are two arising complications of __________?
A. maximum capital budget
B. greater capital budget
C. optimal capital budget
D. minimum capital budget - A project whose cash flows are more than capital invested for rate of return then net present value will be___________?
A. Positive
B. Independent
C. Negative
D. Zero - In capital budgeting, the positive net present value results in _________?
A. negative economic value added
B. positive economic value added
C. zero economic value added
D. percent economic value added - The modified rate of return and modified internal rate of return with exceed cost of capital if the net present value is ____________?
A. positive
B. negative
C. zero
D. one - In capital budgeting, a negative net present value results in _________?
A. zero economic value added
B. percent economic value added
C. negative economic value added
D. positive economic value added
The correct answer to the question: "A company having a current ratio of 1 will have __________ net working capital." is "zero".
3 Comments
this question repeats in 8th no first question and would you tell me that which is correct option????
answer is updated. C. zero is the correct option.
NWC = CA – CL
If Current ratio = 1:1, its means assets are equal to liabilities.
So, net working capital is zero