Global Exporters has total assets of $84,300, net working capital of $22,900, owner's equity of $38,600, and long-term debt of $23,900. What is the value of the current assets?

Question

Quizplus · Accepted Answer

The value of current assets can be calculated using the formula: Current Assets = Net Working Capital + Current Liabilities. First, calculate current liabilities: Total Assets = Owner's Equity + Long-term Debt + Current Liabilities, which gives Current Liabilities = $84,300 - $38,600 - $23,900 = $21,800. Then, Current Assets = $22,900 (Net Working Capital) + $21,800 (Current Liabilities) = $44,700.

Global Exporters Has Total Assets of $84,300, Net Working Capital