Working capital, in accounting, refers to the difference between a company’s current assets and current liabilities, serving as a measure of its short-term financial health and operational efficiency. This working capital definition in accounting highlights its role in ensuring a business can meet its short-term obligations and fund day-to-day operations. Effective management of working capital is crucial for maintaining liquidity and operational stability.
CMA Prep Course
CMA Exam Academy is a proven, 16-week per part online coaching program to help you pass the CMA. The Academy’s comprehensive curriculum will help you pass the CMA exam and achieve your dreams of earning 6-figures per year, ascend to the executive ranks and earn the respect from your peers.