A firm has $820 in inventory,$3,200 in fixed assets,$1,210 in accounts receivable,$890 in accounts payable,and $360 in cash.What is the amount of the net working capital?
A)$4,700
B)$5,590
C)$3,600
D)$2,390
E)$1,500

Question

Quizplus · Accepted Answer

Net working capital is calculated as current assets minus current liabilities. Current assets include inventory ($820), accounts receivable ($1,210), and cash ($360), totaling $2,390. The current liability is accounts payable ($890). Thus, net working capital is $2,390 - $890 = $1,500.

A Firm Has $820 in Inventory,$3,200 in Fixed Assets,$1,210 in Accounts