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Working capital is a “measure of a company’s efficiency and its short term financial health†(Ivestopedia, 2008). To calculate a company’s working capital subtract its current liability from its current assets. Current assets include cash, accounts receivable, and inventory on hand. “Working Capital gives investors an idea of a company’s underlying operational efficiency†(Investopedia, 2008)...
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Working capital is a “measure of a company’s efficiency and its short term financial health†(Ivestopedia, 2008). To calculate a company’s working capital subtract its current liability from its current assets. Current assets include cash, accounts receivable, and inventory on hand. “Working Capital gives investors an idea of a company’s underlying operational efficiency†(Investopedia, 2008)...
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