Question 30
Business CalculationsA trader started business with N30,000 and spent N20,000 in buying premises & equipment, the balance of N10,000 is his
- A.authorised capital
- B.fixed capital
- C.working capital
- D.capital owned
- E.called-up capital
Show the answer and explanation
Answer: C (working capital)
Explanation
The N10,000 left for day-to-day trading is working capital; the N20,000 is fixed capital.