Ask Question
19 February, 03:09

A company has the following balance sheet. What is its net operating working capital? Cash $ 10 Accounts payable $ 30 Short-term investments 30 Accruals 10 Accounts receivable 50 Notes payable 50 Inventory 40 Current liabilities 90 Current assets 130 Long-term debt 60 Net fixed assets 100 Common equity 30 Retained earnings 50 Total assets $230 Total liab. & equity $230 Select one: a. $130 b. $100 c. $40 d. $60 e. $230

+4
Answers (1)
  1. 19 February, 05:20
    0
    d. $60

    Explanation:

    operating assets - operating liabilities = net operating working capital

    First:

    cash 10

    ar 50

    inventory 40

    operating assets 100

    Then:

    account payable 30

    accruals 10

    operating liabilities 40

    Calculate:

    operating assets 100 - operating liabilities 40 = net operating working capital

    net operating working capital = 60
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “A company has the following balance sheet. What is its net operating working capital? Cash $ 10 Accounts payable $ 30 Short-term ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers