what is working capital
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ᴛʜᴇ ᴄᴀᴘɪᴛᴀʟ ᴏғ ᴀ ʙᴜsɪɴᴇss ᴡʜɪᴄʜ ɪs ᴜsᴇᴅ ɪɴ ɪᴛs ᴅᴀʏ-ᴛᴏ-ᴅᴀʏ ᴛʀᴀᴅɪɴɢ ᴏᴘᴇʀᴀᴛɪᴏɴs, ᴄᴀʟᴄᴜʟᴀᴛᴇᴅ ᴀs ᴛʜᴇ ᴄᴜʀʀᴇɴᴛ ᴀssᴇᴛs ᴍɪɴᴜs ᴛʜᴇ ᴄᴜʀʀᴇɴᴛ ʟɪᴀʙɪʟɪᴛɪᴇs.
ᴡᴏʀᴋɪɴɢ ᴄᴀᴘɪᴛᴀʟ ɪs ᴀ ғɪɴᴀɴᴄɪᴀʟ ᴍᴇᴛʀɪᴄ ᴡʜɪᴄʜ ʀᴇᴘʀᴇsᴇɴᴛs ᴏᴘᴇʀᴀᴛɪɴɢ ʟɪϙᴜɪᴅɪᴛʏ ᴀᴠᴀɪʟᴀʙʟᴇ ᴛᴏ ᴀ ʙᴜsɪɴᴇss, ᴏʀɢᴀɴɪsᴀᴛɪᴏɴ ᴏʀ ᴏᴛʜᴇʀ ᴇɴᴛɪᴛʏ, ɪɴᴄʟᴜᴅɪɴɢ ɢᴏᴠᴇʀɴᴍᴇɴᴛᴀʟ ᴇɴᴛɪᴛɪᴇs.
ᴡᴏʀᴋɪɴɢ ᴄᴀᴘɪᴛᴀʟ ɪs ᴀ ғɪɴᴀɴᴄɪᴀʟ ᴍᴇᴛʀɪᴄ ᴡʜɪᴄʜ ʀᴇᴘʀᴇsᴇɴᴛs ᴏᴘᴇʀᴀᴛɪɴɢ ʟɪϙᴜɪᴅɪᴛʏ ᴀᴠᴀɪʟᴀʙʟᴇ ᴛᴏ ᴀ ʙᴜsɪɴᴇss, ᴏʀɢᴀɴɪsᴀᴛɪᴏɴ ᴏʀ ᴏᴛʜᴇʀ ᴇɴᴛɪᴛʏ, ɪɴᴄʟᴜᴅɪɴɢ ɢᴏᴠᴇʀɴᴍᴇɴᴛᴀʟ ᴇɴᴛɪᴛɪᴇs.
ayushi4355:
thanks
ᴡᴄ
hmmm
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Working capital is a measure of both a company's operational efficiency and its short-term financial health.
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