Question 1 (TCO D) Working capital is

cash and marketable wecurities.

total equity of the organization.

current assets less inventory.

cash and accounts receivable.

current assets.

Question 2 (TCO D) Temporary working capital is

not needed if the firm has a permanent working capital.

only used by nonprofit organizations.

less expensive than permanent working capital.

is the additional working capital needed to respond to seasonal fluctuations.

Question 3 (TCO D) Describe the difference between FIFO and LIFO cost for inventory.

Question 4 (TCO D) Discuss the objective of accounts receivable management.