Purchase goods ( value 400000) on credit which will paid through year result in:

A- The right answer is that increase current ratio

Because when we purchase goods on credit base the entry will be :

Purchase Account   Dr

         By Account / Part Name   Cr

On the other hand the justification according to accounting rules is that 

When we purchase goods on cash / credit base then automatically increase in inventory / in asset . inventory also considered the current asset and purchase on credit base is increase in liability So we considered to accounts payable as current liability. Increase / change in current assets and liabilities is same affect.

credit purchase goods do not change in current ratio because increase of current assets (inventory) and increase of current Liabilities (Accounts Payable) to be same.

as it will be paid through the year i will recorded as current liabilities , this will cause to decrease working capital ( current assets - current liabilities )

answer is D