can you help me with accounting?

Question

Hi i am taking an accounting exam and there is a question about a ratio called net days working capital? I know how to compute workign capital. Should i just divide workign capital by daily sales?Does anyone know what the definition of this ratio this is? any help would be greatly appreciated! Thanks

Answer 1

i am not positive but i think they are looking for the net number of days until the working capital runs out. so if you have daily expenses you can calculate it.