Use the following information to answer questions .
-What is the total amount of working capital?
A)$2,000
B)$4,000
C)$5,000
D)$7,000

Question

Use the following information to answer questions . 
-What is the total amount of working capital?
A)$2,000 
B)$4,000 
C)$5,000 
D)$7,000

Quizplus · Accepted Answer

The working capital is calculated by subtracting total current liabilities from total current assets. In this case, total current assets are $12,000 and total current liabilities are $7,000. So, the working capital is $5,000 (12,000 - 7,000). Therefore, option C is the correct choice.

Use the Following Information to Answer Questions