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Crank
3 years ago
6

Grey Wolf, Inc has current assets of $2,090 net fixed assets of $9,830 current liabilities of $1710 and long-termdebt of $4520.

What is the value of the shareholders' equity account for this firm? how much is net working capital?
Business
1 answer:
s2008m [1.1K]3 years ago
8 0

Answer:

(a) $5,690

(b) $380

Explanation:

Given that,

current assets = $2,090

Net fixed assets = $9,830

Current liabilities = $1710

Long-term debt = $4520

Total assets:

= Current assets + Net fixed assets

= $2,090 + $9,830

= $11,920

Total Liabilities:

= Current Liabilities + Long-term Debt

= $1710 + $4520

= $6,230

(a) Total assets = Total liabilities + Stockholder's equity

$11,920 = $6,230 + Stockholder's equity

$11,920 - $6,230 = Stockholder's equity

$5,690 = Stockholder's equity

(b) Net working capital:

= Current assets - Current liabilities

= $2,090 - $1,710

= $380

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