Asked by
Lewis Brooks
on Dec 01, 2024Verified
Net working capital is the difference between current assets and current liabilities.
Net Working Capital
A financial metric that measures a company's ability to pay off its current liabilities with its current assets.
Current Liabilities
Short-term financial obligations due within one year, typically including accounts payable, short-term loans, and accrued expenses.
- Comprehend the principle of net working capital and the method of its computation.
Verified Answer
AH
Learning Objectives
- Comprehend the principle of net working capital and the method of its computation.