Working capital - Definition - The Economic Times

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working capital

working capital  Working capital is an indicator of the short-term financial position that measures the overall efficiency of an organization  What is working capital? Working capital refers to the difference between a company's current assets and current liabilities Current assets

Generally, working capital is calculated by subtracting total current liabilities from total current assets However, there are variations on Working capital is the capital a company has left after it covers all of its debts It is calculated by subtracting current liabilities from

Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital Gross working capital is equal to current assets Working capital is the capital a company has left after it covers all of its debts It is calculated by subtracting current liabilities from

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