Romeo and Juliet are house shopping and decide on a romantic…

Romeo and Juliet are house shopping and decide on a romantic cottage that will cost $175,000. Romeo and Juliet can qualify for a 15-year loan at 4.0%. They have a $20,000 down payment, courtesy of a wedding gift from their matchmaker, William Shakespeare. What will be their monthly payment? 

       Cash                                     $   75,000  …

       Cash                                     $   75,000        Accounts receivable                 45,000        Inventory                                  10,000        Land                                          50,000        Building (net)                            80,000        Short term bank loan               60,000        Current portion of mortgage     5,000        Mortgage payable                  100,000        Share capital                           250,000 The working capital formula is:   current assets – current liabilities    Calculate the working capital: