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natali 33 [55]
3 years ago
9

In 2016, Southwest Airlines had negative net working capital of $(2,346) million and current assets of $4,498 million. The firm’

s current liabilities are: A. $2,152 million B. $6,844 million C. $2,346 million D. $5,236 million E. There is not enough information to calculate the amount.
Business
1 answer:
timofeeve [1]3 years ago
7 0

Answer:

B. $6,844 million.

Explanation:

We know,

Net working capital = Current asset - Current liabilities

Given,

Net working capital = $(2,346) million

Current asset = $4,498 million

Putting the value into the formula, we can get

Net working capital = Current asset - Current liabilities

Current liabilities = - Net working capital + Current asset

Current liabilities = - (2,346) + $4,498

Current liabilities = $2,346 + $4,498

Current liabilities = $6,844 million.

Option B is the correct answer.

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Identifying effects of transactions using the accounting equation LO PI
Luda [366]

Answer:

A. Asset as cash will increase by $59,000, asset in equipment will increase $14,000

B. Asset side in increased and decreased

C. Asset and liability will increase by $11,000

D. Asset will increase

E. Asset will increase

F. Asset will increase and decrease by $5,800

G. Asset will decrease

H. Asset will increase

I. Liability will decrease

J. Asset and capital will decrease by $1,200

Explanation:

Accounting equation is Asset = Liabilities + Capital

Accounting equation is affected in business transaction. The transaction in business have different effects some transaction are like hybrid which impacts the multiple accounts balances. There are some transactions which just involve asset side transaction increase and decrease on the same account this will offset the balance and no effect on equation.

5 0
2 years ago
The opening balance of one of the 31-day billing cycles for Clay's credit card was $3300, but after 15 days Clay made a payment
babymother [125]

For apex it’s $45.18

3 0
3 years ago
Read 2 more answers
Other financial data for the year ended December 31, 2019: Included in accounts receivable is $1,200,000 due from a customer and
Kipish [7]

Answer:

$5,055,000

Explanation:

Note: <em>The full question is attached below</em>

<em />

Particulars                                                                    Amount

Cash                                                                            $875,000

Accounts receivable                          $2,695,000  

Less: Installments not due in 2021   <u>($600,000)</u>      $2,095,000

[$1,200,000 - ($150,000 * 4)]  

Inventory                                                                      <u>$2,085,000</u>

Total of current assets                                               <u>$5,055,000</u>

5 0
2 years ago
A company purchased $10,700 of merchandise on June 15 with terms of 2/10, n/45, and FOB shipping point. The freight charge, $850
Karolina [17]

Answer:

a. $10,003.

Explanation:

The terms of 2/10, n/45 means that there is a 2% discount if the payment is made within 10 days of the sales date and rhe net credit period is 45 days.

Calculate total invoice value

Total Invoice value = Merchandise value + Freight Charges = $10,700 + $850 = $11,550

As the payment is made on June 24 within the discount period, the discount will be availed

Discount = ( Purchases made - Returns ) x 2% = ( $10,700 - $1,360 ) x 2% = $186.80 = $187

Now the Amount paid

Amount Paid = Invoice value - Return - Discount avaialed = $11,550 - $1360 - 187 = $10,003

3 0
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Which events could cause the increase in the money supply to be less than its potential?
FromTheMoon [43]

When the economy is operating at a point where output is less than the natural level of output, the unemployment rate is greater than the natural unemployment rate. the price level is less than the expected price level.  the price level will be lower next period than it is this period. 

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