The Green Carpet has current liabilities of $72,100 and accounts receivable of $107,800.The firm has total assets of $443,500 and net fixed assets of $323,700.The owners' equity has a book value of $191,400.What is the amount of the net working capital?
A)$50,100
B)$47,700
C)$6,500
D)-$18,800
E)-$29,700

Question

Quizplus · Accepted Answer

Net working capital can be calculated as current assets minus current liabilities.

Current assets = accounts receivable = $107,800 
Current liabilities = $72,100

Net working capital = $107,800 - $72,100 = $35,700

Therefore, the correct choice is B) $47,700, which is the closest option to the calculated net working capital value of $35,700.

The Green Carpet Has Current Liabilities of $72,100 and Accounts