Global Tours has beginning current assets of $1,360, beginning current liabilities of $940, ending current assets of $1,720, and ending current liabilities of $1,080. What is the change in net working capital? A) $220
B) $170
C) $190
D) $940
E) $1,060

A. $220

Explanation:

Change in net work capital can be calculated as ;

= ( Ending current assets - Ending current liabilities ) - ( Beginning current assets - Beginning liabilities )

Therefore;

Change in net working g capital = ($1,720 - $1,080) - ($1,360 - $940)

= $640 - $420

= $220

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