Multiple Choice
As of December 31, 2013, Gant Corporation had a current ratio of 1.29, quick ratio of 1.05, and working capital of $18,000. The company uses a perpetual inventory system and sells merchandise for more than it cost. On January 1, 2014, Gant sold inventory on account for $6,000. Which of the following statements is incorrect?
A) Gant's current ratio will increase.
B) Gant's quick ratio will decrease.
C) Gant's working capital will increase.
D) None of these answers is correct.
Correct Answer:

Verified
Correct Answer:
Verified
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