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20 December, 16:49

A rapid build up of inventories normally requires additional financing, unless the increase is matched by an equally large decrease in some other assets.

True

False

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  1. 20 December, 16:56
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    Answer: True.

    Explanation: An inventory is the total goods a company has in it's Warehouse. For a company to rapidly increase it's inventory there needs to be a rapid increase in financing, to enable the company buy or produce goods to stock up it's inventory.
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