Kramerica Enterprises has net working capital of $2,100, net fixed assets of $23
ID: 2739659 • Letter: K
Question
Kramerica Enterprises has net working capital of $2,100, net fixed assets of $23,600, current liabilities of $1,800, and long-term debt of $14,700. What is the value of the shareholders' equity
Kramerica Enterprises has net working capital of $2,100, net fixed assets of $23,600, current liabilities of $1,800, and long-term debt of $14,700. What is the value of the shareholders' equity
Kramerica Enterprises has net working capital of $2,100, net fixed assets of $23,600, current liabilities of $1,800, and long-term debt of $14,700. What is the value of the shareholders' equity
Explanation / Answer
Given,
Net Working Capital = $2100 Net Fixed assets = $23,600 Current Liabilites = $1,800 Long term Debt = $14,700 Net Working Capital = Current Assets -Current Liabilites $2100= Current Assets -$1800 Current Assets = $2100+$1800 Current Assets = $3900 Now let put the equation to find the Shareholder's Equity, Current Assets+Fixed Assets = Current Liabilites +Long Term Debt+Share holder's Equity $3900+$23,600= $1800+14,700+Shareholder's Equity Shareholder's Equity = $3900+$23,600-$1800-$14,700 Shareholder's Equity = $ 11,000Related Questions
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