A company has net worth of Rs. 15 lac, term liabilities are Rs. 10 lac. Fixed Assets worth Rs. 16 la

A company has net worth of Rs. 15 lac, term liabilities are Rs. 10 lac. Fixed Assets worth Rs. 16 lac and current assets are Rs. 25 lac. There is no intangible assets or the non current assets. Calculate it's net working capital. a. 6 lac b. 7 lac c. 8 lac d. 9 lac Ans - d Total Assets = Total liabilities Total Assets = Fixed Assets + current assets = 16 + 25 = 41 So total liabilites must be 41 lac Now out of 41 lac, the long term liability is 25 lac (15 + 10) Hence CL = 41 - 25 = 16 lac Now we have CA = 25 lac and CL = 16 lac NWC = 25 - 16 = 9 lac