Question

What are raw materials and money in hand called ?

CBSE Class IX Social Science VSA (1 Mark)

Answer 1

The raw materials and money in hand are known as working capital, which are used for production of commodities.

In other words, working capital is the cash available for funding daily operations of an organization.

It is also called as current capital.

The formula of working capital = current assets – current liabilities.

Answer 2

Working Capital
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The raw materials and money in hand called Working Capital
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1) Working capital is also known as the current capital.

2) It is the capital which is the current capital of the work.

3) It's formula is :- Current assets - Current liabilities.