Question: Balance Sheet Assets Liabilities Current Assets Current Liabilities Cash. . . . . . . . . . . . . . . . .
| Balance Sheet | ||||
| Assets | Liabilities | |||
| Current Assets | Current Liabilities |
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| Cash. . . . . . . . . . . . . . . . . . . . . . . . . . . . . | 54 | Accounts payable. . . . . . . . . . . . . . . . . . . . . | 38 | |
| Accounts receivable. . . . . . . . . . . . . . . . . . | 21 | Notes payable/short term debt. . . . . . . . . . . | 5 | |
| Inventories. . . . . . . . . . . . . . . . . . . . . . . . . . . . | 16 | Total current liabilities. . . . . . . . . . . . . . . . | 43 | |
| Total current assets. . . . . . . . . . . . . . . . . . . . . | 91 |
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| Long-Term Assets | Long-Term Liabilities |
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| Net property, plant, and equipment. . . . . . . . . | 119 | Long-term debt. . . . . . . . . . . . . . . . . . . . . . . . | 136 | |
| Total long-term assets. . . . . . . . . . . . . . . . . . . | 119 | Total long-term liabilities. . . . . . . . . . . . . . . . | 136 | |
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| Total liabilities. . . . . . . . . . . . . . . . . . . . | 179 | |
| Stockholders' Equity. . . . . . . . . . . . . . . . . . | 31 | |||
| Total assets. . . . . . . . . . . . . . . . . . . . . . . . . . . | 210 | Total liabilities and stockholders' Equity | 210 | |
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The above diagram shows a balance sheet for a certain company. If the company buys new property, plant and equipment today using its entire cash balance, what will its net working capital be?
A. $1 million
B. $48 million
C. $6 million
D. $6 million
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