Working Capital Calculator

Find working capital and the current and quick ratios that show whether a business can pay its short-term bills.

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Prepaid expenses and similar.
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Bills, short-term debt and accrued expenses due within a year.
Fractions and decimals both work.
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Working Capital
Current assets
Current ratio
Quick ratio
Cash ratio
Working Capital Ratio Check

Snapshots

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How to Calculate Working Capital

Working capital is the cushion of short-term assets over short-term bills. The ratios make it comparable across businesses of different sizes.

Working capital = current assets − current liabilities
Current ratio = current assets ÷ current liabilities   Quick ratio = (cash + receivables) ÷ current liabilities

Worked Example

Tips

The quick ratio leaves out inventory, which can take time to turn into cash. What counts as healthy varies by industry; the comfort bands shown are general rules of thumb.