What is working capital?

Answers

Answer 1

Answer:

Working capital, also called net working capital (NWC), represents the difference between a company’s current assets and current liabilities.

NWC is a measure of a company’s liquidity and short-term financial health.

A company has negative NWC if its ratio of current assets to liabilities is less than one.

Positive NWC indicates that a company can fund its current operations and invest in future activities and growth.

High NWC isn’t always a good thing. It might indicate that the business has too much inventory or is not investing its excess cash.

Explanation:

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Answer 2

answer:

the capital of a business which is used in it day-to-day trading operation, calculated as the current assets minus the current liabilities


Related Questions

Sandra deposits $3,000 at the end of each semiannual period for 12 years at 10% interest compounded semiannually. Determine the amount she will have in the account after 12 years. Round to the nearest cent. A. $133,506. 00 b. $140,181. 30 c. $121,291. 43 d. $70,568. 14.

Answers

The amount she will have in the account after 12 years is $9,675.30

Given information

PV = $3,000

N = 12

M = 2

I = 10%

Future value = PV* (1+i/m)^nm

Future value = $3,000 * (1 + 0.10/2)^2*12

Future value = $3,000 * 3.22509994371

Future value = $9,675.29983

Future value = $9,675.30

Hence, the amount she will have in the account after 12 years is $9,675.30

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Answer: A 133,506.00

Explanation:

If you borrow $1500 with a compounding interest rate of 8% for 2 years, that compounds semi-annually. How much will you pay back in total at the end of 2 years

Answers

Answer:

1740

Explanation:

1500(1+[tex]\frac{8}{100}[/tex])^2

1500*([tex]\frac{27}{25}[/tex])^2

= 1749.6

The construction industry employs about ____ percent of the working people in the United States and Canada.

Answers

40% of working people in the United States as well as Canada

You work in sales, and you find your work to be more of a lifestyle than a job. It often involves complex customer situations and weeks of preparation and problem solving to help find workable solutions for those situations. You enjoy it because it enables you to travel to many places and interact with people continuously. However, much of your work involves careful follow-up after your customer visits. Which personal sales channel have you chosen as a career

Answers

There are different aspect of sales. The personal sales channel have you chosen as a career is Field selling.

There are different kinds of selling. they include;

Transactional sellingConsultative sellingField selling  Collaborative selling, etc.

Field marketing which is commonly described as field selling is known to be an old method in direct marketing.  It is when people are involved in distributing, auditing, selling etc., on the field. It is known to be a one-way communication tool.

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which is one advantage of private insurance offered by most employers

Answers

Advantages of an employer plan: Your employer often splits the cost of premiums with you. Your employer does all of the work choosing the plan options. Premium contributions from your employer are not subject to federal taxes, and your contributions can be made pre-tax, which lowers your taxable income.

Answer: A managed care plan that keeps costs low

Explanation:

I took the test

The value of the existing venture plus the proceeds from the potential new equity issue is known as: Group of answer choices pre-money valuation post money valuation staged financing the capitalization rate

Answers

It is pre-money valuation

If you were reading sales literature about a mutual fund that claimed its objective is to be a single source investment for most equity investors, it would most likely be describing

Answers

Since the literature claimed that the objective of the mutual fund is to be a single source investment for most equity investors, then, it would most likely be describing a short-term investment

Basically, the mutual fund is classified as a short-term investment because of its duration.

Since the literature claims mutual fund is a single source investment for most equity investors, it hows that it is a short-term investment because the fund are usually purchased for less than say 3 years.

In conclusion, the literature would most likely be describing the mutual-fund as a short-term investment

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It costs a petroleum refinery $0. 39 to refine one gallon of gasoline, and $0. 39 to refine one gallon of natural gas. The refinery can sell gasoline for $2. 11 per gallon, and can sell natural gas for $1. 60 per gallon. Due to the refining process, the refinery must produce and sell twice as much natural gas as it does gasoline. If the refinery’s monthly overhead costs, not including production costs, are $180,000, how many gallons of natural gas will the refinery have sold when it breaks even each month? Round to the nearest whole gallon, if necessary. A. 86,957 b. 141,732 c. 148,760 d. 217,392.

Answers

The gallons of natural gas that the petroleum refinery must sell to break even each month is A. 86,957.

Data and Calculations:

Variable cost of refining gasoline per gallon = $0.39

Selling price of gasoline per gallon = $2.11

Contribution margin per gallon of gasoline = $1.72 ($2.11 - $0.39)

Variable cost of refining natural gas per gallon = $0.39

Selling price of natural gas per gallon = $1.60

Contribution margin per gallon of natural gas = $1.21 ($1.60 - $0.39)

Contribution margin per two gallons of natural gas = $2.42 since twice of natural gas must be produced.

Fixed costs = $180,000

Break-even point in units for gasoline = Fixed costs/Contribution margin per unit

= 43,478.26 ($180,000/$4.14)

Break-even point in units for natural gas = 86,957 (43,478.26 x 2) gallons.

At the break-even point, the Petroleum Refinery will not make any profit or loss for both gasoline and natural gas.

Thus, the gallons of natural gas that the petroleum refinery must sell to break even each month is A. 86,957.

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_ entail(s) the tendency of customers to do nothing or remain locked in on decisions or behaviors they have already made or are living out.In a marketing context, _______________ entail(s) the tendency of customers to do nothing or remain locked in on decisions or behaviors they have already made or are living out.

Answers

There are different aspect to marketing. In a marketing context, Inertia entail(s) the tendency of customers to do nothing or remain locked in on decisions or behaviors they have already made or are living out.

Inertia is simply known as a term that often shows the ability of a physical object to not want change and therefore resist it as much as possible.

In marketing, it is known to be a word used to show when businesses do not work or change their marketing strategies so as to meet growing consumer demands etc.

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The stock in Bowie Enterprises has a beta of .91. The expected return on the market is 12.10 percent and the risk-free rate is 2.97 percent. What is the required return on the company's stock

Answers

Answer:

3 . 9 %

Explanation:

Not Answered Question Workspace A family on a trip budgets $800 for meals and hotel accommodations. Suppose the price of a meal is $40. In addition, suppose the family could afford a total of eight nights in a hotel if they don't buy any meals. How many meals could the family afford if they gave up two nights in the hotel

Answers

Based on the amount budgeted and the costs of meals and the hotel, if the family gave up two nights, they could afford 4 meals.

The family can afford 8 nights at the hotel if they gave up meals. This means that the cost of a night at the hotel is:

= Total cost / Nights at hotel

= 800 / 8

= $100 per night

If the family gave up two nights, they would have $200 to spend on meals which means they will afford:

= 200 / 40 per meal

= 5 meals

In conclusion, the family would afford 5 meals.

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Damages that involve only a very small monetary award are called liquidated damages. a. True b. False

Answers

Answer:

b. false.

Explanation:

because it is presented in certain legal contracts as an estimate of otherwise intangible or hard-to-define losses to one of the parties. It is a provision that allows for the payment of a specified sum should one of the parties be in breach of contract.

Choose Yes or No to tell if the number 104 will make each equation true.


17 × □ = 1,700

Choose...



6 × □ = 60,000

Choose...



30 × □ = 300,000

Choose...



205 × □ = 205,000

Answers

Answer:

❤I gotcha bro bro

Explanation:

1.No

2.No

3.No

4.No

Your question needs to be more informative and you need more tutoring on Math no offense just Advice

If the Fed raises the interest rate, this will ________ inflation and ________ real GDP in the short run.

Answers

Answer:

reduce; lower

Explanation:

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Which of the following could result in higher living costs for the homeowner that the renter doesn’t have? a. Decreased property value b. Down payment c. Maintenance d. Monthly payment.

Answers

Maintenance could result in higher living costs for the homeowner that the renter doesn't have.

The homeowners are more beneficial as compared to renters because the homeowners own the house as the property or the assets or can be called as the possession.

Who are the renters?

The renter is the person who takes a room or part of the house at rent and pays for the area that is utilized by the individual.

The maintenance cost is the additional cost that is paid by the renter to the homeowner in order to keep the rooms and the house well maintained.

Therefore, the correct answer is C.

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Marion sells for the Whatisits Company of Whoville. An analysis of the performance of the company's 25 person sales force shows that the average sales rep works 250 days a year, makes four calls a day, obtains an order, averaging $15,000, every ten calls made. Marion worked 200 days last year during which she made a total of 700 calls which resulted in 50 orders totaling $1,500,000 in sales volume. What was Marion's average order size

Answers

Based on the information given  Marion's average order size is $30,000 per order.

Using this formula

Average order size=Total cost of order in sales volume/Total order

Where:

Total cost of order in sales volume=$1,500,000

Total order=50 orders

Let plug in the formula

Average order size=$1,500,000 / 50 Orders

Average order size=$30,000 per order

Inconclusion  Marion's average order size is $30,000 per order.

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In every state, there is a government-subsidized university. This subsidy, in theory, would make it possible for tuition to be lower than it otherwise would have been. How might an economist employed by the government justify the subsidy

Answers

The economist employed by the government will justify the subsidy by saying it is expected to increase the productivity which is the basis for the long run aggregate supply curve.

Basically, a subsidies is a program which are provided for education to improve the skills of the individuals going to college.

Economically, the program is expected to increase the productivity which is is the basis for the long run aggregate supply curve.

Now, once the productivity is increased, the potential GDP is increased and thus, the long-run aggregate supply curve is shifted to the right which increases the current GDP as well.

In conclusion, the economist employed by the government will justify the subsidy by saying it is expected to increase the productivity which is the basis for the long run aggregate supply curve.

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Which information is found on a credit report?
CO
FE
O grade point average
O list of schools attended
o names of family members
o credit account history

Answers

The correct answer is credit account history! I hope this helps! Plz give brainliest!

the ceo of what company stepped down this week, after having co-founded the business and led it from 2006-2008 and from 2015-2021?

Answers

The CEO of Twittter stepped down after having co founded the business and led it from 2015 to 2021.

The CEO of twittter is Jack Dorsey. He is an American. After he stepped down, the technological app was handed over to the Chief Technological officer as his replacement.

The reason why the co-founder decided to step down was due to his plans to focus on philanthropy and also to focus on crypto currency.

This came 15 years after the company was founded.

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on January 1, Year 1, Pell Corp. purchased a machine having an estimated useful life of 10 years and no salvage. The machine was depreciated by the double declining balance method for both financial statement and income tax reporting. on January 1, Year 6, Pell changed to the straight-line method for financial statement reporting but not for income tax reporting. Accumulated depreciation at December 31, Year 5, was $560,000. If the straight-line method had been used, the accumulated depreciation at December 31, Year 5, would have been $420,000. Pell's enacted income tax rate for Year 6 and thereafter is 30%. The amount shown in the Year 6 income statement for the cumulative effect of changing to the straight-line method should be: ___________

a. $98,000 debit.
b. $98,000 credit.
c. $140,000 credit.
d. $0.

Answers

Correct Answer: D

Explanation:

Choice "d" is correct. A change in the method of depreciation is now considered to be both a change in method and a change in estimate. These changes should be accounted for as changes in estimate and handled prospectively. The new depreciation method should be used as of the beginning of the year of change and should start with the current book value of the underlying asset. No retroactive or retrospective calculations should be made, and no adjustment should be made to retained earnings.
And, certainly, the cumulative effect should not be reflected on the income statement any more. Choices "a", "b", and "c" are incorrect, per the above Explanation: .

current assets minus current liabilities is called

Answers

Answer:

working capital also called net working capital (NWC)

what is represented by the distance between two vertical white gridlines on this graph?

Answers

The information which is represented by the distance between two (2) vertical white gridlines on the graph in the image attached is: a time span of 50 years.

A graph can be defined as the graphical representation of data (information) on both the horizontal and vertical lines, which are x-axis and y-axis respectively.

In this scenario, the x-coordinates is used to represent time in years ranging from 1500 to 2050.

On the other hand, the y-coordinates is used to represent the total population in billions.

From the graph, we can deduce that each point of the vertical white gridlines with respect to another represent a time span of 50 years.

For example:

[tex]Time\;span = 1950-1900[/tex]

Time span = 50 years.

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HELP QUICK PLEASE!!!!! William is not generally a risk-taker, but he knows he may need to step out of his comfort zone to make enough money for retirement. Which investment option would best meet William’s needs?
a US savings bond
a savings account
a commodity
a certificate of deposit

Answers

The answer is a commodity

On November 2, Kasdan Company has cash sales of $6,000 from merchandise having a cost of $3,600. The entries to record the day's cash sales will include:

Answers

Answer:

$3,600 credit to Inventory. (C)

Explanation:

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Wilbur has $800 to open a checking account. He can maintain a minimum balance of at least $500. He plans to use the ATM twice a month and he maintains a savings account at the same bank. His employer has direct deposit and he sometimes overdrafts his account. Bank Account Terms and Conditions Bank Account terms and conditions. Bank A is best for Wilbur. Wilbur wants a checking account with the lowest fees. Which checking account would be best for Wilbur? Account A Account B Account C Account D.

Answers

Answer:

Account A

Explanation:

It should be noted that the checking account that would be best for Wilbur is Account A.

A checking account simply means a type of bank account that allows one to easily deposit and withdraw money to carry out transactions.

From the complete information, it can be noted that Wilbur wants a checking account with the lowest fees. Therefore, the best option that should be chosen is Account A.

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Whenever you go into your local grocery store, your purchases are rung up using hardware that is a ______ system. The data from these purchases are likely to be acquired by leading marketing research firms.

Answers

Whenever you go into your local grocery store, your purchases are rung up using hardware that is a Scanner system. The data from these purchases are likely to be acquired by leading marketing research firms.

A scanner system is often in used in businesses to crosscheck the items that were purchased by the buyers. This helps to prevent theft and detect any other dishonest activities.

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under the omnibus crime control and safe streets act of 1968, what are employers allowed to do?

Answers

Answer:only monitor phone calls for compliance

Explanation:

Suppose that Lebanon has placed tariffs on its imports and exports. The import tariff is 13%, and the export tariff is 8%. If Lebanon has a balance of trade of (equivalent US dollars) $5,510,000 and received tariff revenue of $4,019,200, what are its imports and exports worth? a. $30,916,923 in imports, $50,240,000 in exports b. $17,040,000 in imports, $22,550,000 in exports c. $6,226,300 in imports, $5,950,800 in exports d. $4,793,700 in imports, $5,069,200 in exports.

Answers

The worth of imports and exports in reference to the balance of trades is $17,040,000 for imports and $22,550,000 for exports.

Computation of total amount of imports and exports

Given,

[tex]I[/tex] =Import tariff 13%

[tex]E[/tex]=Export tariff 8%

[tex]TB[/tex] =Trade balance of $5,510,000

[tex]TR[/tex] =Tariff revenue received of $4,019,200

First, two equations will be formed:

1. Trade Balance:

[tex]TB=E-I[/tex]

2. Tariff revenue:

[tex]TR=E+I[/tex]

The two equations with the given values are as follows:

1. [tex]E-I=\$5,510,000[/tex]

2. [tex]0.08E+0.13I=\$4,019,200[/tex]

Using both the equations the value [tex]E, I[/tex] are computed as follows:

Equation 1. can be written as:

[tex]E=\$5,510,000+I[/tex]

Putting the changed Equation 1. in equation 2.

[tex]\begin{aligned}0.08(\$5,510,000+I)+0.13I&=\$4,019,200\\\$440,800+0.08I+0.13I&=\$4,019,200\\0.21I&=\$3,578,400\\I&=\$17,040,000\end{aligned}[/tex]

Now, putting the value of [tex]I[/tex] in equation 1:

[tex]\begin{aligned}E-\$17,040,000&=\$5,510,000\\E&=\$5,510,000+\$17,040,000\\E&=\$22,550,000\end{aligned}[/tex]

Therefore, option b. $17,040,000 in imports, $22,550,000 in exports is correct.

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Answer:

(B) $17,040,000 in imports, $22,550,000 in exports

Explanation:

Describe which fiscal policies of the U.S. Congress would be considered expansionary actions and which would be contractionary actions

Answers

Answer:

Congress acts to cut tax rates or increase government spending, shifting the aggregate demand curve to the right.

Explanation:

Contractionary fiscal policy occurs when Congress raises tax rates or cuts government spending, shifting aggregate demand to the left.

Working capital can be defined as

A. Current assets less current liabilities

B.Capital introduced by the proprietor

C.The capital put to use by the business

D.Capital created by work done

Answers

Answer:

A. current assets less current liabilities

I think this is answer

Explanation:

hope it help you

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After 1880 a split in ideology and culture occurred between the older more establish German Jews and the new immigrant wave of eastern European Jews now living in America. This conflict resulted in: a. German Jews advocating Anglo conformity. b. Eastern European Jews supporting use of the Yiddish language and culture. c. class conflict between German Jews and eastern European Jews. d. All of these responses are true. Complete the following sentences so that the second sentences have the same meaning as the first ones.1. No other city in Vietnam is so large as HCM City.HCM City 2. Have you got a cheaper carpet than this ?Is this the 3. My sister is taller than any other student in the class.My sister is the 4. This story is more interesting than any other story that Ive ever read.This is the 5. My kitchen is smaller than yours.My kitchen is 6. I did not spend as much money as you.You spent 7. He drives more carefully than Jack does.Jack doesn't drive 8. 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