Working Capital Ratio
The working capital ratio is calculated simply by dividing total current assets by total current liabilities. For that reason, it can also be called the current ratio. It is a measure of liquidity, meaning the business's ability to meet its payment obligations as they fall due.[1]
See Also
- Define Business Strategy
- Definition of IT Strategy
- Define e-Business Strategy
- Define Corporate Governance of Information Technology
- Define enterprise architecture
- What is IT Sourcing?
- Define IT Operations
- CIO