Profit & cash flow · Calculator
Working capital
Review current and quick ratios, working capital and the cash cycle.
EXAMPLE
Your results and working
| Working | Result |
|---|---|
| Current assets | ₹34,00,000.00 |
| Current liabilities | ₹20,00,000.00 |
| Debtor days · average debtors / credit sales × 365 | 54.75 days |
| Inventory days · average stock / COGS × 365 | 67.38 days |
| Creditor days · average creditors / credit purchases × 365 | 50.54 days |
What this result includes
Liquidity uses balances at the reporting date. The cash conversion cycle uses annual flows and average trade / inventory balances; credit purchases are the denominator for creditor days.
Quick assets exclude inventory and prepayments. Enter only other current assets that meet your chosen liquidity definition. Keep balances and flows on a consistent GST basis.
Net working capital = current assets − current liabilities. It is not an assessed bank limit or drawing power. Cash conversion cycle = debtor days + inventory days − creditor days.
A ratio is shown as Not available when its denominator is zero or unsuitable. Compare like periods and the same accounting basis; these tools do not assign a credit rating.