The Following Data Were Taken from the Otay, Inc Required:
Compute Working Capital

question 56

Essay

The following data were taken from the Otay, Inc.balance sheet:
$\begin{array}{ll}\text { Accountspayable } & \$ 150 \\\text { Inventory } & 250 \\\text { Retained earnings } & 40 \\\text { Accumulated depreciation } & 300 \\\text { Cash } & 500 \\\text { Serial bonds payable (\$200 matures each year) } & 800 \\\text { Prepaid insurance } & 200 \\\text { Allowance for doubtful accounts } & 20 \\\text { Capital stock } & 440 \\\text { Property, plant, and equipment } & 1,000 \\\text { Accountsrecivable (gross) } & 110 \\\text { Acculed salaries } & 310\end{array}$ Required:
Compute working capital.

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Definitions:

Recyclable

Capable of being processed and used again, typically referring to materials that can be collected and remanufactured into new products, reducing waste and consumption of resources.

Nonprofit Organizations

Institutions that operate for purposes other than making a profit, often focusing on social, educational, or charitable activities.

Quality Inspection

The process of examining goods or services to ensure they meet specified quality criteria or standards.

Contractual Vertical Marketing Systems

Collaborative arrangements among channel members at different levels of the distribution process, coordinated through contracts to achieve greater efficiency.