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If CL > CA, the WC will be?

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Question added by Zehab Osman , Accountant , Aldar Consultancy Co.
Date Posted: 2015/08/19
Shahbaz Hayder
by Shahbaz Hayder , Group Head of Finance , Sharif Group of Companies

Option B is the right answer.

kasim Abdul Halik
by kasim Abdul Halik , Payroll Accountant , MEA Resource Solutions (Cupola Group)

B. Negative......................................

SHARIQ ULLAH KHAN KHAN
by SHARIQ ULLAH KHAN KHAN , Accounting Supervisor , Almarai Company

WC will be Negative, if CL> CA

Pradeep Singh.
by Pradeep Singh. , Manager Accounts, Finance & Importation , Amadora Group of Companies

The working Capital will be Negative

Sadiq ul Islam
by Sadiq ul Islam , Finance Manager , Bindawood Group of Companies

B. negative wc is the correct answer.

Shazia Anees
by Shazia Anees , Assistant Manager Finance , Arham Trading Company

b. negative==================================

Huda Adam
by Huda Adam , Faculty of Commerce Graduate , Cairo University

the WC would be negative, (B)

Mohd Nadeem
by Mohd Nadeem , Senior Accountant , Alliance Prime Accounting & Tax Consultancy

B is the right answer , working capital will be negative .

Mohamed Ebrahim
by Mohamed Ebrahim , assistant

b) Negative working capital as CL is greater than CA

 

 

Asad Ahmed
by Asad Ahmed , Manager Finance & Company Secretary , Connect Communications Pvt. Ltd.

If CL is greater than CA than the working capital will be negative

Ailen Magallanes
by Ailen Magallanes , Finance Head , Jesi Mendez Salon Group Inc.

Negative,of course. Working capital is the difference between current asset vs current liability. So if current liability is greater than current assets, there will be a negative working capital.

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