RE: What is working capital?

What is working capital?

Aditi Arora Trainee Asked on November 3, 2014 in Financial Services.
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3 Answers

Working capital is the capital required for day to day working.Working capital measures how much  liquid assets a company has available to build its business.In general companies that have a lot of working capital will be more successful since they can expand and improve their operations.

In accounting Term, Working Capital=Current Assets-Current Liabilities.

CA Ritika Mittal Accountant Answered on November 5, 2014.
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