单选题 Firebird Company reported the following financial information at the end of 2007 (in millions) :
Merchandise inventory
$240
Minority interest
70
Cash and equivalents
275
Accounts receivable
1150
Accounts payable
225
Property & equipment
2160
Accrued expenses
830
Current portion of long-term debt
120
Long-term debt
1570
Retained earnings
4230
Calculate Firebird' s current assets and working capital.
Current assets Working capital
①A. $1665 million $ 420 million
②B. $ 1735 million $ 490 million
③C. $1665 million $ 490 million
  • A. ①
  • B. ②
  • C.③
【正确答案】 C
【答案解析】Current assets are equal to $ 1665 ( $ 275 cash and equivalents + $1150 accounts receivable + $ 240 inventory). Working capital( current assets minus current liabilities) is equal to $ 490 ($1665 current assets$ 225 accounts payable$ 830 accrued expenses$120 current portion of long-term debt).