Most risk of needing emergency loan

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Looking forward to next year, if Baldwin’s current cash balance is $20,132 (000) and cash flows from operations next period are unchanged from this period, and Baldwin takes ONLY the following actions relating to cash flows from investing and financing activities: Issues 100 (000) shares of stock at the current stock price Issues $400 (000) in bonds Retires $10,000 (000) in debt Which of the following activities will expose Baldwin to the most risk of needing an emergency loan? 

Sells $10,000 (000) of their long-term assets

Liquidates the entire inventory

Purchases assets at a cost of $25,000 (000)

Pays a $5.00 per share dividend

Reference no: EM131514760

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