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Forensic Accounting

Working capital adjustment


Hi, What do you mean  by adding the "change in net working capital"? Is it the year on year change or current asset - current liabilities?

asked May 8 in IAS 36 - Impairment of Assets by anonymous

1 Answer

0 votes
It is difference between current assets and current liabilities not year to year differences
answered May 8 by veshmalahotra Level 3 Member (7,480 points)
Thanks for the reply. Do you deduct If the current assets are more?
Let me tell u the formula of calculating net working capital..
current assets minus current liabilities what ever outcomes of the formula would the working capital of company



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