Calin Corporation has total current assets of $617,000, total current liabilities of $233,000, total stockholders’ equity of $1,

Question

3 years ago

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Calin Corporation has total current assets of $617,000, total current liabilities of $233,000, total stockholders’ equity of $1,

185,000, total plant and equipment (net) of $960,000, total assets of $1,577,000, and total liabilities of $392,000.a. The company's working capital is ___________.

Business

2 answers:

Otrada [13] · Answer 1 · 2022-06-09T03:20:01+03:00

Answer:

Working capital = Current assets - Current liabilities

= $617,000 - $233,000

= $384,000

Explanation:

Working capital refers to current assets minus current liabilities. It is the capital available for day to day running of a business.

irakobra [83] · Answer 2 · 2022-06-09T04:31:59+03:00

Answer:

The company's working capital is $384,000

Explanation:

Working capital is a measure of how liquid an entity is. This is determined by considering the value of the current assets available to settle the current liabilities of the entity.

Working capital = Current Assets – Current Liabilities

Current Assets = $617,000

Current Liabilities = $233,000

Working capital = $617,000 - $233,000

= $384,000