\begin{array}{lr}
Dr. & \(\mathrm{Cr} .\) \\
\(\mathrm{N}\) & \(\mathrm{A}\) \\
Goodwill & 100,000 \\
Plant and Machinery & 320,000 \\
Freehold premises & 500,000 \\
Stocks & 150,000 \\
Debtors & 125,000 \\
Cash in bank & 75,000 \\
Cash in hand & 20,000 \\
Profit and loss account & 340,000 \\
Accrued rent & 5,000 \\
Sundry creditors & 95,000 \\
Capital & \(1.290,000\) \\
\hline
\end{array}
The value of working capital is ____________
A. N \(250.000\)
B. \(N 30.000\)
C. \(\mathrm{N} 70,000\)
D. \(\mathrm{N} 270,000\)
Correct Answer: D
Explanation
Working Capital
= Current Asset - Current liabilities,
\(=370.000-100.000=N 270.000\)