Given the Following Data: Total Current Assets = $852; Total

question 7

Multiple Choice

Given the following data: Total current assets = $852; Total current liabilities = $406; Long-term debt = $442, calculate the net working capital.

• A) $446
• B) $852
• C) $410
• D) None of the above

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Definitions:

Self-Employment Tax

A tax consisting of Social Security and Medicare taxes primarily for individuals who work for themselves, calculated on net earnings from self-employment.

Net Earnings

The amount of money left after all deductions, including taxes and operating expenses, have been subtracted from total income.

Standard Mileage Rate

A set rate per mile that taxpayers can use to calculate the deductible costs of operating an automobile for business, charitable, medical, or moving purposes.

Vehicle Expenses

Costs incurred from the use of a vehicle for business purposes, including gas, repairs, and insurance, which may be deductible.