This calculator helps you determine the change in net working capital (NWC) by calculating the difference between current assets and current liabilities.
Learn how to use the Change in Net Working Capital Calculator calculator and its working principles
Net Working Capital (NWC) is a measure of a company's short-term financial health, operational efficiency, and short-term liquidity. It is calculated as current assets minus current liabilities. The change in NWC over a period indicates how a company's working capital position has changed.
Change in NWC = (Current Assets (End of Period) - Current Liabilities (End of Period)) - (Current Assets (Beginning of Period) - Current Liabilities (Beginning of Period))