Current Assets Minus Current Liabilities

Current Assets Minus Current Liabilities, often abbreviated as CACL, is a business calculation that indicates the short-term financial performance of a company. This figure is determined by subtracting the company’s current liabilities from its current assets. It provides a snapshot of the overall financial health of a business and can be used to assess its liquidity, solvency, and general stability. By having a better understanding of this calculation, businesses can improve their decision-making processes and ensure they remain on strong financial footing.