Question: 5) Networking capital is calculated by taking the difference between: A) inventory and accounts payable. ory and accounts payable. B) current assets and current liabilities.

 5) Networking capital is calculated by taking the difference between: A)

5) Networking capital is calculated by taking the difference between: A) inventory and accounts payable. ory and accounts payable. B) current assets and current liabilities. C) cash and accounts payable. D) total assets and total liabilities. 6) Short-term financing transactions commonly occur in the: A) primary markets. B) secondary markets, C) capital markets. D) money markets. 7) What happens to a firm's net worth as it uses cash to repay accounts payable? A) Net worth decreases temporarily, until cash is replenished. B) Net worth remains constant. C) Net worth decreases. D) Net worth increases

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