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Homework: Homework 1 Score: 0 of 10 pts P3-11 (similar to) Save 6 o1 8 (4 comple

ID: 2815371 • Letter: H

Question

Homework: Homework 1 Score: 0 of 10 pts P3-11 (similar to) Save 6 o1 8 (4 complete)> HW Score: 37.5%, 30 of 80 pts Question Help * (Related to Checkpoint 3.2) (Working with the balance sheet) The Caraway Seed Company grows heirloom tomatoes and sells their seeds. The heirloom tomato plants are preferred by many growers for their superior flavor. At the end of the most recent year the firm had current assets of $50,600, net fixed assets of $249,400, current liabilities of $30,900, and long-term debt of $99,900 a. Calculate Caraway's stockholders' equity b. What is the firm's net working capital? c. If Caraway's current liabilities consist of $19,000 in accounts payable and $11,900 in short-term debt (notes payable), what is the firm's net working capital? a. Calculate Caraway's stockholders' equity Caraway's stockholders' equity is s(Round to the nearest dollar)

Explanation / Answer

Current assets = 50,600
Fixed assets= 249,400
Total assets=300,000

Liabilities = 30900+99,900=130,800

We know Assets = Equity +Liability

Hence 300,000=Equity +130,800=$169,200

Net workin capital = Current assets-current liabilities=50,600-30900=$19,700

c) Net working capital = 50,600-19,000=31,600 asshort term debt can be clubbed with long term liabilities