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Current assets of 6,200 less current liabilities of 1,850 gives working capital of:
A4,350
B8,050
C3,450
D5,430
Answer & Solution
Correct answer: A. 4,350
1. Working capital is current assets minus current liabilities.
2. 6,200 minus 1,850 leaves 4,350.
3. Working capital is 4,350.
_Source: OpenStax Principles of Financial Accounting, Chapter 2, Introduction to Financial Statements._
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