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Chapter 10 Working capital - acornlive.com
www.acornlive.com2 10.1 Working capital Working capital is the capital available for conducting the day-to-day operations of the business and consists of current assets and current liabilities.
Working Capital and Cash Conversion Cycle
ctl.mit.eduWorking capital • Working capital is required to … – operate the business – serve the customers – deal with some variation in the timing of cash flows • Working capital is a basic measure of both acompany's efficiency and its short -term financial health – Too much: may indicate inefficient use of resources, low return