I need to describe and quantify the elements of working capital for the 2006 fiscal year for both Raytheon and Boeing.© BrainMass Inc. brainmass.com December 19, 2018, 11:57 pm ad1c9bdddf
Working capital is the capital which is used to run daily operations in a smooth manner. It has got two parts:
1) Gross Working capital is the firm's total current assets used in operations.
Gross Working capital = total current assets
These current assets include cash, marketable securities, prepaid expenses, accounts receivable, inventory, and other current assets. Working capital represents the liquid portion of the firm.
2) Net Working Capital means the difference between current assets and current liabilities, and therefore, represents that position of current assets, which the ...
This quantify the elements of working capital for both Raytheon and Boeing