Question : It is defined as excess of current assets over current liabilities. Which concept is highlighted in the given statement?
Option 1: Fixed capital
Option 2: Working capital
Option 3: Captian structure
Option 4: None of the above
Correct Answer: Working capital
Solution : Working capital refers to that part of total capital which is required for holding current assets. It may also be defined as excess of current assets over current liabilities.
Hence, option B is correct.
Question : It refers to that part of total capital which is required for holding current assets. Which concept is highlighted in the given statement?
Option 1: Working capital
Option 2: Fixed capital
Option 3: Capital structure
Question : Which of the following tells the working capital?
Option 1: Difference between Current Assets and Fixed Assets
Option 2: Difference between Current Assets and Current Liabilities
Option 3: Difference between Current Liabilities and Current Assets
Option 4: None of the above.
Question : It is the money invested in fixed assets which is to be used over a long period of time. Which capital is highlighted in the given statement?
Question : Which of the following statements is incorrect?
Option 1: Working Capital = Current Assets - Current Liabilities
Option 2: Current Liabilities = Total Assets - Non-Current Liabilities - Shareholder's fund
Option 3: Working Capital = Equity Share Capital + Reserves & Surplus - Long Term Loan - Non-Current Assets
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