Question

Calculate max opening capital given the following assets and liabilities: Non-current Assets $60,000; Inventory $10,000; Bank $5,000; and Bank Loan for Non-current Assets $20,000.

A. $63,000

B. $55,000

C. $37,000

D. $103,000

Answer 1

Explanation:

non current assets is a fixed assets

non current assets =60,000

inventory. = 10,000

bank. = 5000

answer of total assets =75000

bank loan for non current assets is liability so it is

20,000

capital +liability=assets

capital =assets-liability

= 75,000-20,000

= 55,000