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Business Calculators

Working Capital Calculator

Verified formula Updated Jun 2026 Private — runs on your device

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Verified formula Private

Working capital

₹2,00,000

Current ratio
1.67

For general information only — not financial, tax, legal or medical advice. Verify before you rely on it.

How to use the Working Capital Calculator

The Working Capital Calculator works out your working capital, along with 1 related figure in an instant. Enter current assets and current liabilities and the result updates as you type — it is free, needs no sign-up, and runs entirely in your browser so your figures stay private.

  1. Enter the current assets.
  2. Enter the current liabilities.
  3. Read off your working capital, together with current ratio — the calculator updates automatically, with no button to press.

Formula

The Working Capital Calculator uses the formula:

Working capital = Current assets - Current liabilities

Worked example

For example, with current assets of ₹500,000 and current liabilities of ₹300,000, the working capital is ₹2,00,000.

Inputs used
Current assets ₹500,000
Current liabilities ₹300,000
Results
Working capital ₹2,00,000
Current ratio 1.67

Results are estimates for educational use, not professional advice.

Key terms explained

Ratio
A comparison of two quantities showing how many times one contains the other.

Frequently asked questions

Working capital is current assets minus current liabilities. It measures the short-term funds a business has to cover day-to-day operations and near-term obligations.

A current ratio between about 1.5 and 2 is often considered healthy. Below 1 can signal liquidity stress; very high values may mean assets are not being used efficiently.

Positive working capital means a business can pay its short-term bills and invest in growth. Negative working capital can force costly borrowing or missed payments.

Current assets include cash, receivables and inventory expected to convert to cash within a year. Current liabilities include payables and short-term debt due within a year.

The Working Capital Calculator uses the formula: Working capital = Current assets - Current liabilities. For example, with current assets of ₹500,000 and current liabilities of ₹300,000, the working capital is ₹2,00,000.

Enter the current assets. Enter the current liabilities. Read off your working capital, together with current ratio — the calculator updates automatically, with no button to press.

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