Last year, Xiaomi had sales of 57 crore, cost of goods sold of 46 crore, and the following end of year balance sheet (in crores ):

Extract of balance sheet: Xiaomi

AssetsAmount (in crore)Cash9.0Accounts Receivable7.5Inventory0.5Net Plant, Property Long-term & Equipment6.0Total Assets23 croreEquity & liabilityAmount (in crore)Accounts Payable5.3Notes Payable by the end of current FY3.2Accrued Items7.5Debt3.0Common Equity4.0Total Liabilities & Equity23 crore

Assume that all figures in the balance sheet were constant throughout the year.

Questions:1

Working Capital

How much had Xiaomi invested in working capital?

Hint: 'Notes Payable', 'Accounts payable' and 'Accrued Items' are categorisedas current liabilities.

• 1
• 0.5
• -1
• -0.5