Current ratio measures business's ability to meet short-term obligations within a year. Formula: Current Assets divided by Current Liabilities. Ratio above 1 indicates financial well-being
Working capital represents operating liquidity available to businesses. Calculated as current assets minus current liabilities. Positive working capital ensures firm can continue operations
Working capital is short-term capital needed to finance current assets. Management aims to maintain satisfactory level of current assets and liabilities. Short-term liquidity and profitability are key objectives
Net Working Capital is the difference between current assets and current liabilities. Current assets include cash, accounts receivable, and inventory. Current liabilities encompass short-term debts and obligations
Amazon's ending cash increased from $14.6Bn to $19.3Bn from 2014 to 2016. Operating cash flow doubled from $6.8Bn to $16.4Bn due to AWS revenue growth. Investing cash flow increased from $5Bn to $7Bn through property purchases. Financing cash flow became negative in 2015-2016 due to debt repayment
Working capital is the difference between current assets and current liabilities. Calculated by subtracting current liabilities from current assets. Positive working capital indicates sufficient resources for operations. Negative working capital suggests potential liquidity issues