Working capital is defined as:
A)current liabilities less current assets.
B)current assets less current liabilities.
C)current assets plus current liabilities.
D)total assets less total liabilities.

Question

Quizplus · Accepted Answer

Working capital is calculated by subtracting current liabilities from current assets. This calculation gives the amount of funds that a company has available to operate its daily business activities.

Working Capital Is Defined As