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Question 1: Calculate the working capital amount given the following data: Be sure to properly label your answer. Show all work. Calculate the current ratio using the same data and label your answer.
Cash $10,000
A/R 20,000
Inventory 10,000
PPE (LTA) 50,000
Notes Payable (CL) 10,000
Mortgage Payable (LTL) 40,000
Retained Earnings 40,000
Rent expense 1,000
Car expense 500
Shipping expense 100
LTL = long term liability, CL = current liability, LTA= Long term asset q
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