Question

What are the examples of working capital?

Answer 1

for instance,a manufacturer that has current laibilties of $ 100,000 and current assets of $ 200,000 has working capital of $100,000.This means that after all the current laibilties are paid off the company still has $100,000 of current assets remaining.The manufacturer is highly liquid.
when analysing a company 's working capital ,it is important to look at its total working capital dollers as well as it's current ratio.