Quiz Ch 16 – T/F The Relationship Between Sales Growth and Current Assets
Fundamentals of Financial Management, Concise
Brigham and Houston
09th Edition
True or false: With an upswing in sales, a firm usually witnesses an uptick in its current assets. This includes an expansion in inventory levels and the accrual of accounts payable, leading to the emergence of spontaneously generated funds due to increased sales-related transactions.