The following is a simplified Balance Sheet of a company for the year 20xx. Based on the information given below, answer the questions that follow. If the following tables are broken on your computer, expand the window on your screen. Assets Liabilities & Equity Cash 25,000 Acct. Payable 40,000 Acct. Receivable 15,000 Wages Payable 15,000 Inventory 20,000 Notes Payable (3 year) 200,000 Prepaid Expenses 5,000 Common Stock 300,000 FF&E 900,000 Retained Earnings ? Acc. Dep. (FFE) 105,000 27. Which one of the following is correct for the Retained Earnings in the Balance Sheet above- description & the amount? is It is the accumulated Net Income or Loss Cafter dividends payout) reinvested to the company. The amount is $305,000 It is the Net Income amount earned during the current accounting year that has been added to the total asset. The amount must be $305,000 It is the accumulated Net Income or Loss (after dividends payout) reinvested to the company. The amount is $515,000 It is the accumulated Net Income or Loss (after dividends payout) reinvested to the company. The amount is $ 205,000 The following is the same information presented in the previous question - a simplified Balance Sheet of a company for the year 20xx. Based on the information given below, answer the questions that follow. If the following tables are broken on your computer, expand the window on your screen Assets Liabilities & Equity Acct. Payable Cash 25,000 40,000 15.000 Acct. Receivable 15,000 Wages Payable Inventory 20,000 Notes Payable (3 year) 200,000 Prepaid Expenses 5,000 Common Stock 300,000 FF&E 900,000 Retained Earnings ? Acc. Dep. (FFE) 105,000 28. Which one of the following statements is correct for the amount of Net Working Capital and for its meaning? The amount of Net Working Capital is $10,000. It means that the company has $10,000 for immediate use after paying out its current liabilities with its current asset amount The amount of Net Working Capital is $815,000. It means that the company has has usable resources for $815,000 after paying its total debt using its Total Assets. The amount of Net Working Capital is - (minus) $15,000. It means that the company's cash & acct. receivable amounts in total (which is $40,000) fall short by $15,000 to pay out its current liability (which is $55,000). The amount of Net Working Capital is $1,015,000. It means that the company has has usable resources for $1,015,000 after paying its current liabilities using its Total Assets