Which of the Following Accurately Describes Working Capital

question 79

Multiple Choice

Which of the following accurately describes working capital?

• A) Current assets minus inventory
• B) Current assets minus current liabilities
• C) Total debt minus stockholders' equity
• D) Cost of goods sold divided by average inventory

---

Definitions:

Industrial Unions

Labor unions that represent all workers, skilled and unskilled, employed in a specific industry.

Largest Union

The largest labor organization within a particular region, sector, or country, representing a significant number of workers and often wielding considerable influence.

Taft-Hartley Act

A 1947 federal law in the United States that restricts the activities and power of labor unions, aiming to balance the rights between labor and management.

Economic Disruption

Significant disturbances in an economy caused by external interventions, technological changes, or market dynamics that lead to substantial adjustments.