Search results
Results from the WOW.Com Content Network
Working capital (WC) is a financial metric which represents operating liquidity available to a business, organisation, or other entity, including governmental entities. Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital. Gross working capital is equal to current assets.
Working capital is an important metric because of what it says about management's ability to deploy capital for expansion or acquisitions. Think of it like you would Major League Baseball's ...
The return on net assets (RONA) is a measure of financial performance of a company which takes the use of assets into account. [1] [2] Higher RONA means that the company is using its assets and working capital efficiently and effectively. [3]
Starting off with Gross Output, expenditure on intermediate goods and services are deducted, to arrive at gross value added. Value added may be stated gross (equal to the net output value, including consumption of fixed capital, i.e. depreciation charges) or net (excluding consumption of fixed capital). The net operating surplus (NOS) is thus ...
Gross fixed capital formation (GFCF) is a component of the expenditure on gross domestic product (GDP) that indicates how much of the new value added in an economy is invested rather than consumed. It measures the value of acquisitions of new or existing fixed assets by the business sector , governments , and "pure" households (excluding their ...
In financial accounting, free cash flow (FCF) or free cash flow to firm (FCFF) is the amount by which a business's operating cash flow exceeds its working capital needs and expenditures on fixed assets (known as capital expenditures). [1]
It is commonly represented as total assets less current liabilities (or fixed assets plus working capital requirement). [2] ROCE uses the reported (period end) capital numbers; if one instead uses the average of the opening and closing capital for the period, one obtains return on average capital employed (ROACE). [citation needed]
Get AOL Mail for FREE! Manage your email like never before with travel, photo & document views. Personalize your inbox with themes & tabs. You've Got Mail!