Kcco inc has current assets of 4200 net fixed assets of...

KCCO, Inc., has current assets of $4,200, net fixed assets of $23,400, current liabilities of $3,750, and long-term debt of $8,400. 1. What is the value of the shareholders' equity account for this firm? (Do not round intermediate calculations.) 2. How much is net working capital? (Do not round intermediate calculations.)

Transcript

00:01 Then the question the different values of assets and liabilities has been given like in assets the value of current asset has been given so the current asset in the company were of $4 ,200 this has been given in the question and the fixed asset net that means less its depreciation so net fixed assets value is $23 ,400 now again we have been given with the current liabilities so that current liabilities were of $3 ,750 .750.

00:46 Apart from current liabilities, the long -term debt are also given and that are of $8 ,400.

00:54 So long -term debt is $8 ,400.

01:01 Now the first question asks us about the value of shareholders equity.

01:10 Now, for solving this, we know that in balance it, the total of asset should equals to total of liability.

01:33 And this shareholder's equity is going to come in the liability side.

01:39 So we will have shareholders equity here and we need to find out this balance.

01:49 So the total of asset is coming to be $27 ,600.

01:55 Dollars so this total should match with the total of liability that is $27 ,600 so the shareholders equity will be the balancing amount between them so now we can have the value of shareholders equity so the shareholders equity will be total assets that is 27 ,600 less current liability plus long -term debt so the so this total assets value is $27 ,600 and the current liability is of $3 ,750 and the long -term debt is of $8 ,400.

02:51 So we have $27 ,600 less $12 ,150 and the balance comes to $15 ,450...

Question

Please give Ace some feedback