Excerpts from Zorra Corporation's most recent balance sheet appear below: Sales on account in Year 2 amounted to $1,370 and the cost of goods sold was $850.
-The working capital at the end of Year 2 is:
A)$630
B)$810
C)$680
D)$420

Question

Excerpts from Zorra Corporation's most recent balance sheet appear below:  Sales on account in Year 2 amounted to $1,370 and the cost of goods sold was $850.
-The working capital at the end of Year 2 is:
A)$630 
B)$810 
C)$680 
D)$420

Quizplus · Accepted Answer

Working capital = Current assets - Current liabilities = $680 - $260 = $420

Excerpts from Zorra Corporation's Most Recent Balance Sheet Appear Below