What is meant by gross working capital and net working capital?
Answers
Answer:
Explanation:
Gross working capital is the sum of all of a company's current assets (assets that are convertible to cash within a year or less) ...Gross working capital is less current liabilities is equal to net working capital. or simply "working capital",a more useful measure for balance sheet analysis.
Answer:
Gross working capital is the sum of all of a company's current assets (assets that are convertible to cash within a year or less). Gross working capital includes assets such as cash, accounts receivable, inventory, short-term investments, and marketable securities.
net working capital
Net operating working capital is a measure of a company's liquidity and refers to the difference between operating current assets and operating current liabilities. In many cases these calculations are the same and are derived from company cash plus accounts