During year 2, millstone company provided$6,500 of services for cash, paid cash dividends of $1,000 to owners, and paid $4,000 cash for expenses. liabilities were unchanged. which of the following statements accurately describes the effect of these events on the elements of the company's financial statements?

Afirm wants to strengthen its financial position. which of the following actions would increase its current ratio? a. reduce the company's days' sales outstanding to the industry average and use the resulting cash savings to purchase plant and equipment.b. use cash to repurchase some of the company's own stock.c. borrow using short-term debt and use the proceeds to repay debt that has a maturity of more than one year.d. issue new stock, then use some of the proceeds to purchase additional inventory and hold the remainder as cash.e. use cash to increase inventory holdings.