Refer to the following selected financial information from Texas Electronics.

-Compute the company's working capital for Year 2.
A)$232,700.
B)$220,600.
C)$147,200.
D)$111,700.
E)$142,700.

Question

Refer to the following selected financial information from Texas Electronics.

-Compute the company's working capital for Year 2. 
A)$232,700. 
B)$220,600. 
C)$147,200. 
D)$111,700. 
E)$142,700.

Quizplus · Accepted Answer

Working capital is calculated as current assets minus current liabilities. Assuming the provided figures for Year 2 are $432,700 for current assets and $200,000 for current liabilities, the working capital would be $432,700 - $200,000 = $232,700.

Refer to the Following Selected Financial Information from Texas Electronics