Question

Penguin Pucks, Inc., has current assets of $3,400, net fixed assets of $18,500, current liabilities of $2,900, and long-term debt of $7,700. How much is net working capital?

Hint: NWC - CA - CL.
$7,200
-$500
-$8,200
$500
$8,200

Answer 1

The net working capital for Penguin Pucks, Inc. is $500.

Step-by-step explanation:

The formula for net working capital is:
NWC = Current Assets - Current Liabilities

Given that Penguin Pucks, Inc. has current assets of $3,400 and current liabilities of $2,900, we can calculate the net working capital:

NWC = $3,400 - $2,900 = $500

Therefore, the net working capital for Penguin Pucks, Inc. is $500.