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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › Working capital
Dear Moffat,
Hope you are fine. Thank you for your nice lectures.
I just have a short question regarding the items of working capital.
As far as I know working capital is current asset less current liabilities. My question is which items should be taken into consideration for current assets and current liabilities?
These are only Cash + TRADE receivable + Inventory – TRADE payable ?
I mean other receivable, other payable, prepayments, short-term provisions, bank overdraft etc are not considered as working capital. Yes?
Thanks you in advance
