Answer:
The company's net working capital is $24,687.5
Step-by-step explanation:
Net working capital is the aggregate amount of all current assets and current liabilities and is used to measure the short-term liquidity of a business. Net working capital is calculated by the formula:
Net working capital = Current assets - Current liabilities
The company has a total debt of $124,250, of which 55 percent is payable in the next 12 months.
Current liabilities = $124,250 - 55% x $124,250 = $55,912.5
Basing on accounting equation:
Total assets = Total liabilities (debt) + shareholders' equity = $124,250 + $132,800 = $257,050
The company has net fixed assets of $176,450.
Current assets = Total assets - Net fixed assets = $257,050 - $176,450 = $80,600
Net working capital = $80,600 - $55,912.5 = $24,687.5