Lesmerises Corporation's most recent balance sheet and income statement appear below: Dividends on common stock during Year 2 totaled $40 thousand. Dividends on preferred stock totaled $10 thousand. The market price of common stock at the end of Year 2 was $2.85 per share.
-The working capital at the end of Year 2 is:
A) $1,020 thousand
B) $280 thousand
C) $650 thousand
D) $990 thousand

Question

Lesmerises Corporation's most recent balance sheet and income statement appear below:   Dividends on common stock during Year 2 totaled $40 thousand. Dividends on preferred stock totaled $10 thousand. The market price of common stock at the end of Year 2 was $2.85 per share.
-The working capital at the end of Year 2 is:
A) $1,020 thousand 
B) $280 thousand 
C) $650 thousand 
D) $990 thousand

Quizplus · Accepted Answer

The working capital is calculated as current assets minus current liabilities. The correct choice is based on the given financial data for Year 2.

Lesmerises Corporation's Most Recent Balance Sheet and Income Statement Appear