Difference between revisions of "Working capital"

Latest revision as of 19:59, 16 July 2020

Working capital is a firm's investment in short-term assets—cash, marketable securities, inventory, and accounts receivable.

Working capital. A firm's investment in short-term assets—cash, marketable securities, inventory, and accounts receivable.

Working capital. Current assets.

Working capital. Current assets minus current liabilities; measures a business's ability to meet its short-term obligations with its current assets.

Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.

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 :[[Working capital]]. A firm's investment in short-term assets—cash, marketable securities, inventory, and accounts receivable.
 According to [[Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition)]],
-:
+:[[Working capital]]. Current assets.
+According to [[Managerial Accounting by Braun, Tietz (5th edition)]],
+:[[Working capital]]. Current assets minus current liabilities; measures a business's ability to meet its short-term obligations with its current assets.
 ==Related concepts==
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 *[[Introduction to Financial Management]].
-[[Category: Financial Management]][[Category: Articles]]
+[[Category: Financial Management]][[Category: Articles]][[Category: Accounting]]