Asked by
Dedtrick Jones
on Nov 08, 2024Verified
The total assets are $900, the fixed assets are $600, long-term debt is $500, and short-term debt is $200. What is the amount of net working capital?
A) $0
B) $100
C) $200
D) $300
E) $400
Total Assets
The total value of everything a company owns, both current and non-current, recorded on the balance sheet.
Fixed Assets
Tangible assets purchased for long-term use in the operation of a business, not expected to be converted quickly into cash.
Long-term Debt
Financial obligations of a company payable over a period exceeding twelve months, often used for major investments or acquisitions.
- Gain an understanding of and compute net working capital based on the financial position statement.
Verified Answer
OO
Learning Objectives
- Gain an understanding of and compute net working capital based on the financial position statement.