Lisa Inc.'s working capital at December 31,20 × 7,was closest to:
A) $10,000.
B) $70,000.
C) $85,000.
D) $90,000.

Question

Quizplus · Accepted Answer

To calculate the working capital, we need to subtract current liabilities from current assets. 
Given that we don't have any information about current liabilities, we only consider current assets.
From the balance sheet, current assets include:
Cash and cash equivalents: $15,000
Accounts receivable: $40,000
Inventory: $60,000
Prepaid expenses: $10,000
Total current assets: $125,000

Therefore, the closest option to Lisa Inc.'s working capital at December 31, 20 × 7 is $85,000 (Option C), since this is the closest value to the total current assets.

Lisa Inc'S Working Capital at December 31,20 × 7,was Closest To