Categorías: Todo - assets - liabilities - inventory - cash

por Alexa Morales Hoyuela hace 1 mes

20

Net working capital

Businesses must carefully manage their financial resources, balancing the availability of actual cash and the flow of cash in and out of the organization. They need to keep track of inventory, including raw materials and finished goods, to ensure smooth operations.

Net working capital

Topic flotante

Accounts Receivable

Amounts due from customers

Inventory

raw material, goods in process, or finished goods

Cash

Cash flow

cash inflows and outflows

actual money available

long-term asset

useful life of more than a year

Net working capital

working capital

Cash and current assets available after accounting for current liabilities.

Liabilities

amounts owed to other entities
Long-Term Liabilities

Debts to be repaid after 1 year.

Assets

what a company owns

Current Assets

Converted into cash within 1 year.
Prepaid Expenses

Future expenses already paid

Current Liabilities

be paid within one year.
Accrued expenses

Recognized when incurred but not yet paid.

Taxes Payable

Taxes owed to government entities.

Supplier

goods and services

Accounts Payable

amounts owed to suppliers