The financial statements of james auto repair reflect cash of $14,600, accounts receivable of $11,500, accounts payable of $22,900, inventory of $17,800, long-term debt of $42,000, and net fixed assets of $63,800. the firm estimates that if it wanted to cease operations today it could sell the inventory for $35,000 and the fixed assets for $49,000. the firm could also collect 100 percent of its receivables. what is the market value of the assets

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Business

Brando

7 February, 00:25

The financial statements of james auto repair reflect cash of $14,600, accounts receivable of $11,500, accounts payable of $22,900, inventory of $17,800, long-term debt of $42,000, and net fixed assets of $63,800. the firm estimates that if it wanted to cease operations today it could sell the inventory for $35,000 and the fixed assets for $49,000. the firm could also collect 100 percent of its receivables. what is the market value of the assets

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Octavio Kelly · Answer 1

Calculation of market value of the assets;

In the given case the company's assets include Cash, Accounts receivable, Inventor, and Net fixed assets and the market value of assets of the companies are as follows:

Cash $14,600

Accounts receivable $11,500

Inventory $35,000

Net fixed assets $49,000

Hence the market value of assets shall be (14600+11500+35000+49000) = $110,100