Marco's just reported an EPS of $1.68 on revenues of $440 million. The company has 12 million shares outstanding. Total assets are $280 million, current liabilities equal $48 million, and long- term debt is $112 million. Net fixed assets are worth $230 million. Given this information, which one of the following statements is correct?

Question

Quizplus · Accepted Answer

Net working capital is calculated as current assets minus current liabilities. Current assets can be found by subtracting net fixed assets from total assets, which gives $50 million. Thus, net working capital is $50 million - $48 million = $2 million.

Marco's Just Reported an EPS of $1