What Is the Formula for Measuring a Firm's Working Capital

question 56

Multiple Choice

What is the formula for measuring a firm's working capital?

• A) Current assets = working capital /current liabilities
• B) Working capital = current assets - current liabilities
• C) Current liabilities = current assets + working capital
• D) Working capital = current assets × current liabilities
• E) Current liabilities = current assets / working capital

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Definitions:

Secure Attachments

The bond between a caregiver and a child that provides the child with emotional security and confidence.

Moral Behavior

Actions that are in accordance with accepted moral rules or standards of conduct, often based on ethical principles of right and wrong.

Accommodation

In psychology, a cognitive process of adjusting one's schema to incorporate new information; in everyday usage, refers to making physical or social adjustments or adaptations.

Assimilation

The process by which a person or a group becomes part of another culture.