The Working Capital Ratio represents the difference between a business’s current assets and its current liabilities. It indicates the company’s ability to pay off its debts and expenses with its current cash-on-hand and assets that can be easily turned into cash. The Biz2Credit Business Finance Glossary: this free resource from Biz2Credit has all the information on key financial terms you need to know for your small business. Browse through all of the most important concepts you need to know when running your own business, all in one place. Discover more business finance terms at
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