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What is the change in Working Capital Requirement (WCR) based on this balance sheet? WCR = (A/R+ INV + prepaid expenses) - (A/P+accruals) is the
What is the change in Working Capital Requirement (WCR) based on this balance sheet?
WCR = (A/R+ INV + prepaid expenses) - (A/P+accruals) is the formula I was given.
Balance Sheet 2014 2015 Assets Current assets Cash and equivalents Accounts receivable Inventories Other Total current assets 391 668 663 78 452 716 641 92 1,901 1,800 Fixed assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Intangible assets and others Total Net Fixed assets Total Assets Liabilities & Shareholder's Equity Current liabilities Accounts payable Accrued expenses Total current liabilities Long-term liabilities 3,179 1,092 2,087 709 2,796 4,596 2014 4,148 1,340 2,808 793 3,601 5,502 2015 485 401 886 519 247 766 Deferred taxes 159 330 Long-term debt Total long-term liabilities Stockholders equity 1,148 1,307 1,179 1,509 Stockholders equity 21 21 126 126 Preferred stock Common stock Capital surplus Accumulated retained earnings 779 1,603 794 2,478 Less treasury stock Total Shareholders Equity Liabilities & Shareholder's Equity (126) 2,403 4,596 (192) 3,227 5,502Step by Step Solution
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