Question

Bear Tracks, Inc., has current assets of $2,350, net fixed assets of $11,100, current liabilities of $1,440, and long-term debt of $4,160. What is the value of the shareholders’ equity account for this firm? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) Shareholders' equity $ How much is the company's net working capital? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) Net working capital $

Answer 1

Owners Equity is $7,850

Net Working Capital is $910

Step-by-step explanation:

Total Assets = Total Liabilities + Owners Equity

($2,350 + $11,100) = ($1,440 + $4,160) + Owners Equity

($13,450) = ($5,600) + Owners Equity

$13,450 - $5,600 = Owners Equity

$7,850 = Owners Equity

Net working capital is calculated as current assets - current liabilities

$2,350 - $1,440 = $910.