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WORKING CAPITAL STATEMENT (WCS) is part of the financial statements' "Statements of Cash Flows or Changes in Financial Position." The WCS normally includes sections covering: Sources of Working Capital, Uses of Working Capital, and Working Capital Changes.

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What affect does an increase or decrease in accounts payable have on the statement of cash flow?

It effects in working capital changes in cash flow


What is the difference between fund flow statement and cash flow statement?

nothing both r similarAlternate answer:The fund flow statement shows the sources and uses of working capital. Working capital equals current assets minus current liabilities (usually excluding the short term portion of interest bearing debt). The cash flow statement explains the change in cash (and cash equivalents), by showing the change in cash as a result of operating, investing and financing activities. The sum of these equal the change in cash over the period.An important difference is that working capital is broader than 'just' cash (and cash equivalents). For example, working capital can increase even though cash is decreasing (for example when the increase in inventory and accounts receivables is larger than the cash decline).Nowadays companies provide a cash flow statement.


How do you calculate net working capital?

How do you calculate net working capital?


How do you determine the working capital of a business?

Working Capital is calculated as follows Working Capital = Current Assets - Current Liabilities Current Assets = 100000 Current Liabilities = 50000 Working Capital = 50000 (Answer)


Example of working capital?

Working capital is a measure of a company's efficiency and its financial health. A measure of a companies efficiency is an example of working capital.

Related Questions

How much working capital does coca cola have?

Coca Cola has one of the largest working capitals in the United States. They have issued a statement that their total working capital is $1.24 billion.


In preparation of fund flow statement How can you treat If the working capital decreases?

when working capital decreases it should be written under the head SOURCES OF FUNDS in fund flow statement. and when W/C increases it should be written under APPLICATION OF FUNDS.


What affect does an increase or decrease in accounts payable have on the statement of cash flow?

It effects in working capital changes in cash flow


What is the difference between fund flow statement and cash flow statement?

nothing both r similarAlternate answer:The fund flow statement shows the sources and uses of working capital. Working capital equals current assets minus current liabilities (usually excluding the short term portion of interest bearing debt). The cash flow statement explains the change in cash (and cash equivalents), by showing the change in cash as a result of operating, investing and financing activities. The sum of these equal the change in cash over the period.An important difference is that working capital is broader than 'just' cash (and cash equivalents). For example, working capital can increase even though cash is decreasing (for example when the increase in inventory and accounts receivables is larger than the cash decline).Nowadays companies provide a cash flow statement.


What defference between cash flow and funds flow ststement?

A distinction between these two statements may be briefed asFunds Flow Statement is concerned with all items constituting funds (Working Capital)for the business while Cash Flow Statement deals only with cash transactions. In other words, a transaction affecting working capital other than cash will affect Funds statement, and not the Cash Flow Statement.In Funds Flow Statement, net increase or decrease in working capital is recorded while in Cash Flow Statement, individual item involving cash is taken into account.Funds Flow statement is started with the opening cash balance and closed with the closing cash balance records only cash transactions.Cash Flow Statement is started with the opening cash balance and closed with ht closing cash balance while there a no opening or closing balances in Funds Flow Statement.


What are the determinate of working capital?

conclusion of determinant of working capital


What is optimal working capital?

Optimal working capital is that point where exact amount of working capital is available to run day to day activities and there is no excess or shortage of working capital at any point.


How to asses Req of working capital in IT Company?

"How to asses Req of working capital in IT Company?" "How to asses Req of working capital in IT Company?"


How do you calculate net working capital?

How do you calculate net working capital?


How do you determine the working capital of a business?

Working Capital is calculated as follows Working Capital = Current Assets - Current Liabilities Current Assets = 100000 Current Liabilities = 50000 Working Capital = 50000 (Answer)


Example of working capital?

Working capital is a measure of a company's efficiency and its financial health. A measure of a companies efficiency is an example of working capital.


Difference between working capital and working capital margin?

Working capital is a company's short term financial well being and efficiency. Working capital margin is a sum of the company's gross working assets over the long term.

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