What is Net Working Capital NWC: Meaning, Formula, Example & Ratio
The net working capital (NWC) formula subtracts operating current assets by operating current liabilities. In other words, a company’s ability to meet short-term financial obligations. It’s a calculation that measures a business’s short-term liquidity and operational efficiency. Examples of current liabilities include accounts payable, short-term debt payments, or the current portion of deferred revenue. Gaining…