Working capital, also known as net working capital is a measure of a company's liquidity and operational efficiency.
 | | Working Capital | | Working capital, also known as net working capital, is the difference between a company's current assets, like cash, accounts receivable (customers' unpaid bills) and inventories of raw materials and finished goods, and its current liabilities, like accounts payable. | | Breaking it Down: | | Working capital is a measure of both a company's operational efficiency and its short-term... | | Read More » | | Related to "Working Capital" | | | | Capital Employed | | Capital employed, also known as funds employed, is the total amount of capital used for the acquisition of profits. | | Read More » | | | Current Ratio | | The current ratio is a liquidity ratio that measures a company's ability to pay short-term and long-term obligations. | | Read More » | | | Efficiency Ratio | | The efficiency ratio is used to analyze how well a company utilizes its assets and liabilities internally. | | Read More » | | | Liquidity Ratios | | Liquidity ratios are a class of financial metrics used to determine a debtor's ability to pay off current debt obligations without raising external capital | | Read More » | | |  | | | | CONNECT WITH INVESTOPEDIA | | | | | | | |
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