Net Working Capital Explained











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Net Working Capital (NWC) is the difference between a company’s current assets (net of cash) and current liabilities (net of debt) on its balance sheet. It is a measure of a company’s liquidity and its ability to meet short-term obligations, as well as fund operations of the business. The ideal position is to have more current assets than current liabilities and thus have a positive net working capital balance. • Click here to learn more about this topic: https://corporatefinanceinstitute.com... • #WorkingCapital #FinancialModeling #FinanceEducation #FinancialAnalysis #CorporateFinance

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