Calin Corporation Has Total Current Assets of $615,000,total Current Liabilities

question 73

Multiple Choice

Calin Corporation has total current assets of $615,000,total current liabilities of $230,000,total stockholders' equity of $1,183,000,total net plant and equipment of $958,000,total assets of $1,573,000,and total liabilities of $390,000.The company's working capital is:

• A) $615,000
• B) $1,183,000
• C) $385,000
• D) $958,000

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Definitions:

Economic Profit

The difference between a firm's total revenues and its total costs, including both explicit and implicit costs.

Opportunity Costs

The penalty of not opting for the next superior alternative while making a decision.

Total Revenues

The total amount of income generated by the sale of goods or services related to the company's primary operations.

Economic Profits

The surplus or profit earned by a firm over and above the total costs of production, including both explicit and implicit costs, signifying an above-normal return.