Question : Which of the following is correct for working capital : A) Difference between Current Assets and Current Liabilities. B) Difference between Current Assets and Fixed Assets.
Option 1: Only A
Option 2: Only B
Option 3: Both of the above
Option 4: None of the above
Correct Answer: Only A
Solution : A company's current liabilities are deducted from its current assets to determine its working capital. Working capital formulas. Working capital = current assets – current liabilities. Hence, the correct option is 1.
Question : Which of the following tells the working capital?
Question : Which of the following statements is incorrect?
Question : Which of the following is the correct formula for "Current Ratio"?
Question : A firm had current assets of Rs.3,00,000 It then paid trade payables of Rs.50,000. After this payment, the current ratio was 2.5:1 The amount of Current Liabilities and Working Capital after the payment are ___________.
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