Subject: “Financial Performance Comparison of Top Rated Commercials Banks of Bangladesh” Submitted by:Name: Jahanara Ferdowsy Id no : BBA 03812295 | Submitted to:Name: Umme Hanna Ari AraAssistant Pro .of BBA Department. Stamford university Bangladesh. |

Working Capital Definition:

Current assets minus current liabilities. Working capital measures how much in liquid assets a company has available to build its business. The number can be positive or negative, depending on how much debt the company is carrying. In general, companies that have a lot of working capital will be more successful since they can expand and improve their operations. Companies with negative working capital may lack the funds necessary for growth. Also called net current assets or current capital.

Important Think About Working Capital:
1. Working Capital can be negative. At that time, We add one word “deficiency" in the back of working capital. It means if Current Liabilities are more than current assets, it is known as working capital deficiency or inverse working capital or negative working capital.

2. Working capital can be easily adjusted, if Accounts manager knows different techniques of managing working capital. He can try to get short term loan or he can increase working capital by proper management of inventory and outstanding incomes and debtors.

3. Working capital can also change by Changing in Cash Conversion period. Cash conversion period is a period in which company changes current assets into cash or bank.

4. Working capital can also positive by increasing growth rate of company. If company does not invest more money and increase profit, the same amount will increase in the cash position