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Working capital is the measure of the liquidity available in a company with which the company funds its daily operations.
Definition business working capital. It represents the funds available to the enterprise to finance regular operations i e. Working capital can be understood as the capital needed by the firm to finance current assets. Day to day business activities effectively. Working capital is also called net working capital it is the amount of liquidity left for a company after its current liabilities have been removed from the current assets.
The assets of a business that can be applied to its operation. Learn what it is how to calculate it and where you can find it to help boost your business. Definition of working capital. The amount of current assets that exceeds current liabilities.
Working capital synonyms working capital pronunciation working capital translation english dictionary definition of working capital. All capital of a business except that invested in capital assets. Working capital also known as net working capital nwc is the difference between a company s current assets such as cash accounts receivable customers unpaid bills and inventories of raw. Working capital is essential for your business to run properly.
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