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Sagot :
As per the given data, after putting the data in formula, the company's working capital is $66,000. Hence, the correct option is B.
What is working capital?
Any company has various types of capital. It can be working or it can be stable. By the term "working capital," one can identify the current liabilities and current assets by subtracting liabilities from assets.
One can find working capital on any company balance sheet. After doing the proper calculations, one can find working capital.
Working capital = current assets – current liabilities.
Net working capital = current assets (minus cash) - current liabilities (minus debt).
Current assets = Cash + Accounts receivable + Inventory
Current assets = $32,000+ $42,000+ $22,000
Current assets = $96,000
Working capital = Current assets - Current liabilities
Working capital = $96,000-$30,000
Working capital = $66,000
Thus, Option B is correct.
Learn more about working capital from here:
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The complete question has been attached in text form:
Darden Company has cash of $32,000, accounts receivable of $42,000, inventory of $22,000, and equipment of $62,000. Assuming current liabilities of $30,000, this company's working capital is: Multiple Choice
o $96,000
o $66,000.
o $44,000
o $12,000.
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