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Determine the term - Working capital and current ratio
Determining these ratios would help a business determine if will have enough capital to operate and can meet their debts.
Working Capital is the amount of current assets minus amount of current liabilities. This must be computed at the end of each period.
The larger the working capital, the better able the business is to pay its debts.
Working capital = current assets – current liabilities
Current Ratio current assets to current liabilities. A current ratio of 2:1 is usually considered acceptable.
Current ratio = current assets/current liabilities
State and local income taxes Some states also withhold state income taxes. Texas doesn't. If state withholds taxes, there will be form similar to the federal one to determine t
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i want to clear concepts of journal
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The resources as machinery, property, buildings and land rights etc. such a business owns are termed as assets. The money values allocated to assets are derived from the cost conce
Determine the Income Statement columns of Worksheet Income Statement columns of the worksheet would comprise the amounts from Adjusted Trial Balance columns which are expenses
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