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Cash Flow Change In Net Working Capital

oboloo Glossary

Cash Flow Change In Net Working Capital

Cash Flow Change in Net Working Capital (CFCNWC) is an important metric in the business world that measures the net increase or decrease in a company’s working capital over a certain period. It is calculated by subtracting the current period working capital from the previous period working capital. This figure can provide insight into a company’s financial health and help inform decisions regarding investments, acquisitions, and more. By keeping an eye on CFCNWC, savvy business owners can see if their company has the necessary resources to stay competitive in their industry and make wise choices based on how cash flows are changing from one period to the next.

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