Use this information to answer the following question. The total amount of working capital is
A) $370,000.
B) $40,000.
C) $140,000.
D) $60,000.

Question

Use this information to answer the following question.  The total amount of working capital is
A) $370,000. 
B) $40,000. 
C) $140,000. 
D) $60,000.

Quizplus · Accepted Answer

Working capital is calculated by subtracting current liabilities from current assets. From the given information, 
Current assets = $410,000 
Current liabilities = $270,000 
So, Working Capital = Current assets - Current liabilities = $410,000 - $270,000 = $140,000. Therefore, the correct option is C.

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