A firm's current assets and current liabilities are P25,000.00 and P18,000.00 respectively. How much additional funds can it borrow from banks for short term, without reducing the current ratio below 1.35 times * a. P1,000.00 b. P2,000.00 c. P3,000.00 d. P4,000.00 e. P5,000.0

Fundamentals Of Financial Management, Concise Edition (mindtap Course List)
10th Edition
ISBN:9781337902571
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Eugene F. Brigham, Joel F. Houston
Chapter16: Financial Planning And Forecasting
Section: Chapter Questions
Problem 2P: AFN EQUATION Refer to Problem 16-1. What additional funds would be needed if the companys year-end...
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A firm's current assets and current liabilities are P25,000.00 and P18,000.00 respectively. How much additional funds can it borrow from banks for short term, without reducing the current ratio below 1.35 times *
a. P1,000.00
b. P2,000.00
c. P3,000.00
d. P4,000.00
e. P5,000.0

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