Jones Corp. reported current assets of $193,000 and current liabilities of $137,000 on its most recent balance sheet.
-The working capital is:
A) 71%.
B) 41%.
C) $56,000.
D) 141%.
E) ($56,000).

Question

Jones Corp. reported current assets of $193,000 and current liabilities of $137,000 on its most recent balance sheet. 
-The working capital is:
A) 71%.
B) 41%.
C) $56,000.
D) 141%.
E) ($56,000).

Quizplus · Accepted Answer

Working capital is calculated by subtracting current liabilities from current assets. In this case, Working capital = $193,000 - $137,000 = $56,000.