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      Question

      Working Capital is calculated by?

      A Debt-Equity Correct Answer Incorrect Answer
      B Long term loans- Short term loans Correct Answer Incorrect Answer
      C Current assets – current liabilities (other than bank borrowings) Correct Answer Incorrect Answer
      D Current Assets – Bank borrowings Correct Answer Incorrect Answer
      E Long term Loans- Current liabilities Correct Answer Incorrect Answer

      Solution

      Working Capital is the capital of a business which is used in its day-to-day trading operations, calculated as the current assets minus the current liabilities.

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