During the year, Mason Company's current assets increased by $120,0, current
liabilities decreased by $50,0, and net working capital

Question

A. lncreased by $70,0.
B. Did not change.
C. Decreased by $170,0.
D. lncreased by $170,0.

Muhammad Akram Shahzad Mughal · Answer

D increased by $170

Mohammed Al-Najdawi · Answer

sorry i have no idea, but from the samples it,s 170 $.

Mahmoud Hamid · Answer

Since Working Capital = CA - CL, when CA increase by $, CL decreae by $, the result is an increase in working capital by $

Nishant Bhatia · Answer

Agreed wtih Fajoul, The NWC will increase !

MOHAMMAD SARFARAZUL HASSAN · Answer

if current asset increase then working capital increase

if current assret decrease then working capital decrease

if current liabilities increase the working capital decrease

if current liability decrease then working capital increaese

hennce asnwer D. lncreased by $,0.