Calculate the net working capital

Assignment Help Finance Basics
Reference no: EM131411803

Ray is an entrepreneur who has recently started his own venture. Since he does not have the resources to hire a financial expert, he has to manage the company's finance in addition to managing the company. He needs to calculate the working capital of his business. From the following information, calculate the net working capital.

Cash

$20,000

Accounts receivable

12,000

Accounts payable

14,500

Inventory

32,000

Accrued expenses

6,500

  • $49,500
  • $43,000
  • $11,000
  • $23,000

Reference no: EM131411803

Questions Cloud

Calculate the internal rate of return : Darrin Corporation is considering a proposal to purchase a new piece of equipment. The cost of the equipment is $16,611. The equipment is estimated to provide an annual cash flow of $3,000 for the next nine years. The company has a required rate o..
What did you find useful in the gtiven article : What did you find useful in this article? Did you follow any of the links? Are you using Bloom's Revised taxonomy or DOK to find verbs to drive your objectives? Did you learn anything new?
Concept of time value of money : Raul needs to choose one alternative from the four alternatives given below. Applying the concept of time value of money, which of the following alternatives should he select?
Different marketing mix elements to better appeal : Based on the information provided about the 5 demographic age groups in the U.S. population, explain how companies could alter two different marketing mix elements to better appeal to each one of those 5 groups. You can use the same company or severa..
Calculate the net working capital : Since he does not have the resources to hire a financial expert, he has to manage the company's finance in addition to managing the company. He needs to calculate the working capital of his business. From the following information, calculate the n..
Write an sql statement to prepare a list with salesman name : Write an SQL statement to prepare a list with salesman name, customer name and their cities for the salesmen and customer who belongs to same city - What types of constraints would you expect to check?
How are the luxury car competitors strategies similar : How are the luxury car competitors' strategies similar? In what manner are they different? Which company has the competitive advantage and why?
Write the switching expression for the burglar alarm : Write the switching expression for the burglar alarm that produces a logic I (rings a bell) when the safe is moved and the control switch is closed, or when the closet is opened after banking hours, or when the closet is opened with the control sw..
Explain are a and b complementary events : Are A and B independent events? Explain how you know.- Are A and B complementary events? Explain how you know.

Reviews

Write a Review

 

Finance Basics Questions & Answers

  Discuss the importance of monetary policy

Also discuss the importance of monetary policy and the tools the Federal Reserve uses to implement monetary policy and maintain stability of the financial system.

  What is the firm''s average investment in accounts receivable

Melton Electronics currently has an average collection period of 35 days and annual sales of $72 million. Assume a 365-day year.

  How much would you pay for a promise to be received one year

What is your personal discount rate or rate of preferences? That is, how much would you pay for a promise of $1,000 to be received one year from now? Would you discount it by 10%, 5%, etc?

  Calculate the inflation adjustment for a 5-year loan

You have been assigned to estimate the interest rates that your company may have to pay when borrowing money in the near future. The following information is available.

  Discuss the relationship between net income and cash flow

interpreting the statement of cash flows. the coca-cola company coca-cola like pepsico manufactures and markets a

  Existence of well paid financial analysts

In an efficient equity market, where there are no mis-priced stocks, no one can make abnormal rates of return. If this is the case, how would you then justify the existence of well-paid financial analysts in all states?

  How the fluctuation in return is eliminated

Show how the fluctuation in return is eliminated if an investor splits his or her surplus funds equally between HappyDays and SadDays.

  Compute the dividends over the next five years

Suppose that a firm's recent earnings per share and dividend per share are $3.80 and $2.80, respectively. Both are expected to grow at 10 percent. However, the firm's current P/E ratio of 19 seems high for this growth rate. The P/E ratio is expect..

  How many batches of heating elements are produced annually

Approximately how many batches of heating elements are produced annually? If production on a batch begins when there is no inventory of heating elements on hand, how much inventory will be on hand four days later?

  Calculate the companys weighted-average cost of capital

Calculate the companys weighted-average cost of capital

  How do we calculate the payback period for a proposed

how do we calculate the payback period for a proposed capital budgeting project? what are the main criticisms of the

  Computing current value of the stock

The dividends of Charles Schwab Corporation are expected to grow indefinitely by 5 percent per year. If this year's year-end dividend is $8 and the company's required rate of return is 10 percent per year,

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd