Use the Information Below for Harding Company to Answer the Questions

question 105

Multiple Choice

Use the information below for Harding Company to answer the questions that follow.
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$\text { Harding Company }$
$\begin{array}{lr}\text { Accounts payable } & 40,000 \\\text { Accounts receivable } & 65,000 \\\text { Accrued liabilities } & 7,000 \\\text { Cash } & 30,000 \\\text { Intangible assets } & 40,000 \\\text { Inventory } & 72,000 \\\text { Long-term investments } & 110,000 \\\text { Long-term liabilities } & 75,000 \\\text { Marketable securities } & 36,000 \\\text { Notes payable (short-term) } & 30,000 \\\text { Property, plant, and equipment } & 625,000 \\\text { Prepaid expenses } & 2,000\end{array}$
-Based on the data for Harding Company, what is the amount of working capital?

• A) $238,000
• B) $128,000
• C) $168,000
• D) $203,000

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Definitions:

P-value

The probability of obtaining test results at least as extreme as the observed results, assuming the null hypothesis is correct.

Sample Size

The number of units or observations collected from a population for the purpose of a statistical analysis.

Significance Level

Significance level is a threshold in hypothesis testing, denoting the probability of rejecting the null hypothesis when it is actually true, often set at 0.05 or 5%.

Power of the Test

The probability that the test correctly rejects the null hypothesis when the alternative hypothesis is true, indicating the test's effectiveness.