gross working capital

Gross Working Capital

Cash and short-term assets expected to be converted to cash within a year. Businesses use the calculation of gross working capital to measure cash flow. Gross working capital does not account for current liabilities, but is simply the measure of total cash and cash equivalent on hand. Gross working capital tends not to add much to the business' assets, but helps keep it running on a day-to-day basis. See also: Fixed asset, Net working capital.

gross working capital

References in periodicals archive ?
The capital invested in total current assets of an enterprise is recognized as Gross Working Capital, whereas the excess of current assets over current liabilities represents Net Working Capital.
The elements analyzed were liquidity position, components of working capital, circulation of working capital, financing of working capital and relationship between gross working capital and sales.
The elements analyzed were liquidity position, components of working capital, composition of short and long term sources of funds and relationship between gross working capital and sales.
The element wise analysis of working capital reveals the element in which gross working capital funds are locked up and the factors responsible for significant changes in working capital in different years.
As a rule of thumb, he suggests, it is useful to start by analysing the gross working capital requirement of the business.
has recently acquired $3,300,000 in additional gross working capital through an agreement with two foreign investment groups.
The ratings incorporate the view that the company's FCF margin ( total FCF over LTM Revenues ratio) will remain negative around 10% during 2012 and 2013, driven primarily by business growth, increasing capex levels, and stable gross working capital cycle (account receivables and inventories) of approximately 155 days.
From the third to the fourth quarter of 2006, gross working capital at these companies shrank by 4.