xy21
May 15, 2012, 05:10 AM
A company has a bank over draft and agrees with its bank that its current ratio will not fall below 2 times.
Forecasts indicate that inventory will fluctuate between $60000 and $ 72000, and that trade payable will fluctuate between $12000 and $17000. The company has no trade receivables.
What is the most the bank will lend by means of overdraft.
A $13000. B $19000 c $24000 d $ 30000.
I want answer with working for my understanding...
Forecasts indicate that inventory will fluctuate between $60000 and $ 72000, and that trade payable will fluctuate between $12000 and $17000. The company has no trade receivables.
What is the most the bank will lend by means of overdraft.
A $13000. B $19000 c $24000 d $ 30000.
I want answer with working for my understanding...