The following data were taken from the Otay, Inc.balance sheet:
$\begin{array}{ll}
\text { Accountspayable } & \$ 150 \
\text { Inventory } & 250 \
\text { Retained earnings } & 40 \
\text { Accumulated depreciation } & 300 \
\text { Cash } & 500 \
\text { Serial bonds payable (\$200 matures each year) } & 800 \
\text { Prepaid insurance } & 200 \
\text { Allowance for doubtful accounts } & 20 \
\text { Capital stock } & 440 \
\text { Property, plant, and equipment } & 1,000 \
\text { Accountsrecivable (gross) } & 110 \
\text { Acculed salaries } & 310
\end{array}$ Required:
Compute working capital.

Question

The following data were taken from the Otay, Inc.balance sheet:
 $\begin{array}{ll}
\text { Accountspayable } & \$ 150 \
\text { Inventory } & 250 \
\text { Retained earnings } & 40 \
\text { Accumulated depreciation } & 300 \
\text { Cash } & 500 \
\text { Serial bonds payable (\$200 matures each year) } & 800 \
\text { Prepaid insurance } & 200 \
\text { Allowance for doubtful accounts } & 20 \
\text { Capital stock } & 440 \
\text { Property, plant, and equipment } & 1,000 \
\text { Accountsrecivable (gross) } & 110 \
\text { Acculed salaries } & 310
\end{array}$ Required:
Compute working capital.

Quizplus · Accepted Answer

The Answer of The following data were taken from the Otay, Inc.balance sheet:
 $\begin{array}{ll}
\text { Accountspayable } & \$ 150 \
\text { Inventory } & 250 \
\text { Retained earnings } & 40 \
\text { Accumulated depreciation } & 300 \
\text { Cash } & 500 \
\text { Serial bonds payable (\$200 matures each year) } & 800 \
\text { Prepaid insurance } & 200 \
\text { Allowance for doubtful accounts } & 20 \
\text { Capital stock } & 440 \
\text { Property, plant, and equipment } & 1,000 \
\text { Accountsrecivable (gross) } & 110 \
\text { Acculed salaries } & 310
\end{array}$ Required:
Compute working capital.

The Following Data Were Taken from the Otay, Inc Required: Compute Working Capital

The Following Data Were Taken from the Otay, Inc Required:
Compute Working Capital