Question: Long-term debt can be computed by: a. adding current liabilities to total assets and subtracting owners' equity. b. subtracting net working capital from total liabilities.

Long-term debt can be computed by:

a.

adding current liabilities to total assets and subtracting owners' equity.
b.

subtracting net working capital from total liabilities.
c.

adding net working capital to total fixed assets and then subtracting owners' equity.
d.

subtracting net working capital from total assets.
e.

subtracting owners' equity from total assets.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

1. Midnight Hour Inc. has declared a $6.30 per share dividend. Suppose capital gains are not taxed, but dividends are taxed at 25%. New IRS regulations require that taxes be witheld at the time the...

Q:

Above are the financial statements for Outstanding industries as of December 31. Assume that all cash is excess cash and tax rate is 25% Using these data calculate the following in ($-millions)....

Q:

Please assist with these Which of the following is not considered a current liability? Multiple Choice 0 Accumulated depreciation 0 Accounts payable 0 Income tax payable 0 Current portion of long...

Q:

3. In preparing its financial statements for the current year, a company's closing inventory was understated by $70000. What will be the effect of this error if it remains uncorrected? A) The current...

Q:

d. How will the external financing needed (EFN) for 20X3 be affected if Delta is only operating at 70% capacity? Interpret this EFN number, and explain what the firm can do with it. (5 marks) This is...

Q:

Madison Makeup reported the following on its most recent financial statements (in $ millions). Fill in the highlighted cells. Item Amount Total stockholders equity 6,825 Inventory ?? Short-term debt...

Q:

1. If given the following information: Current Assets: 1521 Current Liabilities: 1559 Cash: 1290 Sales:5282 Inventory: 453 Depreciation: 339 Net Working Capital: 675 Total Assets: 4626 Average Daily...

Q:

1. If given the following information: Current Assets: 2064 Current Liabilities: 1773 Cash: 1531 Sales:3387 Inventory: 533 Depreciation: 337 Net Working Capital: 551 Total Assets: 3276 Average Daily...

Q:

Total stockholders' equity 6,825 Inventory ?? Shortterm debt 444 Total current liabilities 7,113 Total longterm liabilities 51,026 Accounts receivable 1,004 Net working capital 14,172 Treasury stock...

Q:

1 Normal 1 No Spac. Heading 1 Heading 2 Font Assance Manager of the company you are required to: Equity share capital Loan from Bank Preference share capital Bankoverdraft Long term borrowing...

Q:

Express the position vector of the rms value in vector symbolic method when the alternating current 100.12 sin (377t + F ) [v] is t=0.

Q:

Find the force at B acting on member ABC. Answer(s): 36n C 48in 275 84

Q:

ou own 2,200 shares of stock in Avondale Corporation. You will receive a $1.50 per share dividend in one year. In two years, the company will pay a liquidating dividend of $45 per share. The required...

Q:

10) For a bond that pays cash interest (i.e., not a zero coupon bond), YTM is (a) always equal to the coupon rate (b) always equal to the current yield (c) is always less than the coupon rate (d) can...

Q:

4. Support and enliven your speech with effective research

Q:

1. Describe the power of public speaking and how preparation eases natural nervousness

Q:

3. Choose an appropriate topic and develop it