Calculate the Net Working Capital, from

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Target Exam

CUET

Subject

Entrepreneurship

Chapter

Business Arithmetic

Question:

Calculate the Net Working Capital, from the following information of Mr. Sahib.

(a) Short term loan - 1,00,000/-

(b) Debtors - 65,000/-

(d) Prepaid Expense - 15,000/-

(e) Cast at Bank - 80,000/-

Options:

20,000/-

10,000/-

25,000/-

15,000/-

Correct Answer:

25,000/-

Explanation:

Sure, I can help you calculate the Net Working Capital for Mr. Sahib.

Net Working Capital = Current Assets - Current Liabilities

Current Assets:

Total Current Assets = 160,000/-

Current Liabilities:

Total Current Liabilities = 135,000/-

Net Working Capital = 160,000 - 135,000 = 25,000/-

Therefore, the Net Working Capital of Mr. Sahib is 25,000/-.