net working capital =
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Net working capital (NWC) is the difference between a company's current assets and current liabilities. A positive net working capital indicates a company has sufficient funds to meet its current financial obligations and invest in other activities.
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Step-by-step explanation:
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Working Capital = Current Assets - Current Liabilities
- Current Assets → Inventory, cash, and account receivables
- Current Liabilities → Account Payables And Short Term Loans
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