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A listing of selected accounts of MCU Cafe at the end of 20x6 is listed below: Income Statement Accounts Payable 60,000 Accounts Receivable 25,000 Allowance
A listing of selected accounts of MCU Cafe at the end of 20x6 is listed below: Income Statement Accounts Payable 60,000 Accounts Receivable 25,000 Allowance for Doubtful Accounts 3,000 Cash 75,000 Food Inventory 12,000 Interest Payable 6,000 Notes Receivable (current) 12,000 Repaid Insurance 3,000 Wages Payable 9,000 (1). Determine the amount of current assets (2). Determine the amount of current liabilities (3). Determine the net working capital (4). If MCU must have twice the amount of current assets as it has current liabilities at the end of the year, how much cash is needed to be used to pay for the account payable to achieve this requirement? (5) How much are the new current assets and the new current liabilities after (4)
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