1. A firm starts its year with positive net working capital. During the year, the firm acquires more short-term debt than it does short-term assets. This means that
the ending net working capital might be positive, negative, or equal to zero.
accounts payable increased and inventory decreased during the year.
the beginning current assets were less than the beginning current liabilities.
the ending net working capital will be negative.
both accounts receivable and inventory decreased during the year.
2. Which asset classes trade on the capital markets?
Cash
Cash and bonds
Capital investments
Fixed income and equities