Working Capital Quest
Combine cash, accounts receivable, inventory and current liabilities to calculate working capital and liquidity ratios.
Accounting puzzle
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Instructions, device progress and accessibility
Choose Easy, Normal, or Hard and select Practice or UTC Daily. Solve all accounting fields, then Check Answer. Hint and Undo mark a round as assisted. Progress stays on this device. All cases are fictional.
Local progress is checked when play begins.
How to play Working Capital Quest
Combine cash, accounts receivable, inventory and current liabilities to calculate working capital and liquidity ratios. Choose Easy, Normal or Hard, enter the numeric answers and use Check Answer. Practice and daily challenges are free.
Worked accounting example
Cash $3,000, receivables $4,000, inventory $5,000, and current liabilities $8,000 imply current assets $12,000 and working capital $4,000. Current ratio is 1.50 and simplified quick ratio is 0.88.
Accounting formulas and common mistakes
Working capital = current assets minus current liabilities. Current ratio = current assets divided by current liabilities. Simplified quick ratio excludes inventory from current assets.
All fictional amounts use US dollars for illustration only. Exercises are educational, not business, tax or investment advice.
Frequently asked questions
What does negative working capital mean?
It means current liabilities exceed current assets at the measurement date; interpretation depends on the business.
What is the difference between current and quick ratio?
The simplified quick ratio excludes inventory because inventory is often less readily converted into cash.