Question

Q:4) What do you mean by working capital? (3)marks​

Answer 1

Answer:

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 materials and finished goods, and its current liabilities, such as accounts payable.

Answer 2

Answer:

$\huge {\fbox{\pink{the capital of a business which is used in its day-to-day trading operations, calculated as the current assets minus the current liabilities}}}$