Financial Planner Question:

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Do you know what is working capital?

Financial Planner Interview Question
Financial Planner Interview Question

Answer:

By definition, working capital is current assets minus current liabilities. The working capital figure shows a financial manager how much of an organization's cash is tied up in items such as accounts receivables and inventory. It also indicates how much cash is going to be required to pay off short term debt and obligations over the next year.

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