How will the following affect the size of the firmrsquos, Ask an Expert

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How will the following affect the size of the firm’s optimal investment in current assets?

a. The interest rate rises from 6 percent to 8 percent.

b. A just-in-time inventory system is introduced that reduces the risk of inventory shortages.

c. Customers pressure the firm for a more lenient credit sales policy.

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Financial Accounting, Accounting

Category:- Financial Accounting
Reference No.:- M91975604

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