Enter the current assets and current liabilities into the calculator to determine the working capital ratio of a business.

## Working Capital Ratio Formula

The following formula is used to calculate a working capital ratio.

WCR = A / L

- Where WCR is the working capital ratio
- A is the total assets ($)
- L is the total liabilities ($)

## FAQ

**What is working capital ratio?**

A working capital ratio is a measure of how much capital a company has to use with respect to liabilities. The greater the ratio, the greater the position of the company.

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