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Question
Renfro Industries balance sheet for December 31, 20x3 is as follows:| Assets ($000) | Liabilities and Equity ($000) | |||||
| Cash | $ 8,000 | Accounts Payable | $ 36,000 | |||
| Marketable Securities | 4,000 | Notes Payable | 12,000 | |||
| Accounts Receivable | 60,000 | Other Current Liabilities | 32,000 | |||
| Inventories | 100,000 | Long-term debt | 80,000 | |||
| Plant & Equip. | 220,000 | Preferred Stock | 48,000 | |||
| Less: Deprec. | 64,000 | Common Stock | 20,000 | |||
| Net Plant & Equip. | 156,000 | Paid-in Surplus | 40,000 | |||
| Retained Earnings | 60,000 | |||||
| Total Assets | $328,000 | Total Claims | $328,000 | |||
What is Renfro's net working capital at the end of 20x3?
a. -$8 million
b. $36 million
c. $92 million
d. $172 million
Answer
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