Working Capital Calculator
Liquidity, current ratio and quick ratio.
Enter your values
ⓘ Live results
Results
- Working capital
- $140,000.00
- Current ratio
- 1.78
- Quick ratio
- 1.25
- Health
- Positive liquidity
Quick answer
Working capital is current assets minus current liabilities and shows short-term liquidity.
Working capital = current assets − current liabilities
How to use the Working Capital Calculator
- 1Enter current assets from the balance sheet.
- 2Split out inventory for the quick ratio.
- 3Enter current liabilities.
Worked example
Using the values the calculator loads with:
Inputs
- Current assets320000 $
- Inventory95000 $
- Current liabilities180000 $
Results
- Working capital$140,000.00
- Current ratio1.78
- Quick ratio1.25
- HealthPositive liquidity
Frequently asked questions
What current ratio is healthy?
Between 1.5 and 3 for most businesses.
Why exclude inventory?
Stock can be slow to convert to cash in a crunch.
About this calculator
- Built and reviewed by James Whitfield · How we build and test calculators
- Report an error
Results are estimates for general information. For medical, legal, structural or financial decisions, confirm with a qualified professional.