Question

current assets and current liabilities were $100 million and $40 million, respectively. The prior year, 2018, Jones and Co. reported current assets and current liabilities of $80 million and $30 million, respectively. What is Jones and Co.'s Working Capital for 2019

Answer 1

$60 million

Step-by-step explanation:

Working capital is the amount of resources at the disposal of a firm in order to run its day-to-day activities.

Working capital is determined by deducting total current liabilities from total current assets

Jones and Co.'s working capital for the year 2019 is the difference between the current assets for 2019 and the current liabilities for the same year

current assets is $100 million

current liabilities is $40 million

working capital=$100 million-$40 million=$60 million