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9. Your firm has the following balance sh e e t current abtes of $805.000 total assets of $2.655.000 fand and the $1.770 000
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Answer #1

First 3 questions are being answered here.

1. Option (A) is correct

Total assets = Fixed assets + Current assets

Putting the values in the above equation, we get,

$2655000 = $1770000 + Current assets

Current assets = $2655000 - $1770000

Current assets = $885000

2. Option (D) is correct

Total assets = Fixed assets + Current assets

Putting the values in the above equation, we get,

$2655000 = $1770000 + Current assets

Current assets = $2655000 - $1770000

Current assets = $885000

Current liabilities (given) = $805000

Net working capital = Current assets - Current liabilities

Net working capital = $885000 - $805000

Net working capital = $80000

3. Option (C) is correct

Firm's goal is to maximize the value of the existing shareholders' equity.

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