ines)Text Predictions: OnABC Inc.Balance Sheet as at December 31, 2015 and 2016 ($ thousands)Current AssetsCashAccounts ReceivableInventoryTotal Current AssetsFixed AssetsProperty, Plant & EquipmentLess Accumulated DepreciationProperty, Plant & Equipment, netTotal AssetsLiabilities and S/H EquityCurrent LiabilitiesAccounts PayableNotes Payable and short-term debtTotal Current LiabilitiesLong-Term DebtShareholders EquityCommon SharesPald-In CapitalRetained EarningsTotalTotal Liabilities and S/H EquityABC Inc.Income Statement for 2015 and 2016 ($ thousands)RevenueCost of Goods SoldOperating ExpensesDepreciationEarnings Before Interest & Taxes (EBIT)Interest PaidIncome Before Taxes (EBT)Taxes PaidNet Income (N1)DividendAccessibility: InvestigateO sente2015$ 200450550$1,2002,200(1.000)1,200$2,400$ 2000$ 200$ 600*****$1,600$2,4002015$1,20070030220$ 25050$ 2003006007008.0S 120120162016$1,45085040200$36060$ 300120$ 180$ 80$ 150425625$1,2002,70011.200)1.500$2,700$ 150150300300600800$1,700$2,700700I e) Calculate the Net Working Capital (NWC) for 2016 = Total Current Assets - Total CurrentLiabilities = $1,200 $300 = $900

Net Working Capital is used to understand the short term liquidity position of the company. It is…

Answered: Calculate the Net Working Capital (NWC)…

Calculate the Net Working Capital (NWC) for 2016 = Total Current Assets - Total Current Liabilities = $1,200 $300 = $900

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter13: Financial Statement Analysis

Section: Chapter Questions

Problem 13.8E

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