If a firm increases its current assets relative to total assets,
A. it increases return and reduces risk.
B. it increases return and increases risk.
C. it reduces return and reduces risk.
D. it reduces return and increases risk.
Answer:C
If a firm increases its current assets relative to total assets,
A. it increases return and reduces risk. B. it increases return and increases risk. C. it reduces return and reduces risk. D. it reduces return and increases risk.