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MCQ working capital

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › MCQ working capital

  • This topic has 1 reply, 2 voices, and was last updated 6 years ago by John Moffat.
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  • Author
    Posts
  • December 2, 2018 at 12:49 pm #486776
    star98
    Member
    • Topics: 11
    • Replies: 2
    • ☆

    A co will be declared to be overtrading when it faces which of the following

    a)excessive non current assets
    b)too much working capital
    c)shortage of working capital
    d)shortage of non current assets

    December 2, 2018 at 5:43 pm #486815
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54699
    • ☆☆☆☆☆

    Why are you setting me test questions? You must have an answer in the same book in which you have found the question!!!

    Nobody ever ‘declares’ a company to be overtrading! However, it is (c) that suggests that the company might be overtrading.

    I explain the reason for this in my free lectures. The lectures are a complete free course for Paper FM and cover everything needed to be able to pass the exam well.

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    Posts
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