156. Loren Corporation
Listed below is information from the financial records of Loren Corporation at December 31, 2014:
Retained earnings $37,000 Notes payable--Due July 1, 2017 $12,000
Accumulated depreciation 13,000 Interest payable 1,000
Income taxes payable 24,000 Office supplies 2,000
Buildings 48,000 Accounts payable 36,000
Cash 11,000 Inventory 33,000
Accounts receivable 35,000 Land 50,000
Capital stock 60,000 Prepaid rent 4,000


Read the information below about Loren Corporation.
Required:
Calculate the amount of working capital at December 31, 2014 for Loren Corp. What can you learn from the current ratio that you cannot learn from the amount of working capital?



 
 
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