Question 7
The following account balances are provided for Jones Co. at the end of 2016:
Account
Debit
Credit
Land
$10,000
Prepaid insurance
1,500
Cash
7,000
Notes receivable (due 2019)
4,000
Allowance for doubtful accounts
$1,200
Marketable securities (short-term)
3,300
Accumulated depreciation
8,500
Accounts receivable
15,000
Office supplies
900
Buildings
50,000
Inventory
20,000
Total current liabilities for the company on 12/31/16 were $30,000. Working capital for 2016 is:
$16,500
$46,500
$15,600
$14,100