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West Company had $375,000 of current assets and $150,000 of current liabilities before borrowing $75,000 from the bank with a

West Company had $375,000 of current assets and $150,000 of current liabilities before borrowing $75,000 from the bank with a 3-month note payable. What effect did the borrowing transaction have on the amount of West Company's working capital?

  • No effect
  • $75,000 increase
  • $150,000 increase
  • $75,000 decrease


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