current capital

Definition

Current assets minus current liabilities. Current capital is the part of a company's capital that is used for day-to-day operations, and so it is desirable that companies maintain substantially more current assets than current liabilities. A company's level of current capital is also a measure of how well the company is able to fulfill its short-term debtors and obligations. also called net current assets or working capital.

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current balance current cash debt coverage ratio