Working capital: Difference between revisions
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Working capital is normally defined as the excess of current assets over current liabilities. | Working capital is normally defined as the excess of current assets over current liabilities. | ||
It represents the day to day capital requirement to continue the operations of the organisation. | |||
This working capital requirement has to be financed by borrowings, shareholders' funds, or a combination of both of them. | This working capital requirement has to be financed by borrowings, shareholders' funds, or a combination of both of them. | ||
Revision as of 16:47, 20 June 2015
Working capital is normally defined as the excess of current assets over current liabilities.
It represents the day to day capital requirement to continue the operations of the organisation.
This working capital requirement has to be financed by borrowings, shareholders' funds, or a combination of both of them.
