MANAGEMENT

Detailed explanation-1: -Net working capital is the aggregate amount of all current assets minus current liabilities. It is used to measure the short-term liquidity of a business, and can also be used to obtain a general impression of the ability of a company management to utilize assets in an efficient manner.

Detailed explanation-2: -Answer and Explanation: It is true that working capital is the excess of current assets over current liabilities.

Detailed explanation-3: -Working capital is the amount of current assets that’s left over after subtracting current liabilities. It’s what can quickly be converted to cash to pay short-term debts. Working capital can be a barometer for a company’s short-term liquidity. A positive amount of working capital indicates good short-term health.

Detailed explanation-4: -Calculation. Working capital is the difference between current assets and current liabilities.

Detailed explanation-5: -Working capital is the difference between a company’s current assets and current liabilities.