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Please state why the answer is choice A. Please show your work if needed. 2. Mother's Company has current assets of $900,000 and current liabilities

Please state why the answer is choice A. Please show your work if needed.image text in transcribed

2. Mother's Company has current assets of $900,000 and current liabilities of $1,000,000. Mother's Company's current ratio would be increased by a. borrowing $100,000 on a line-of-credit (short-term loan) b. purchase of merchandise inventory costing S100,000 cash. c. purchase of marketable equity securities for S100,000 cash d. paying $100,000 of wages payable. e. none of the above

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