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Net working capital refers to.

A. total assets minus fixed assets

B. current assets minus current liabilities

C. current assets minus inventories

D. current assets.

Answer: Option B

Solution(By Examveda Team)

Net working capital refers to current assets minus current liabilities. Working capital, also known as net working capital (NWC), is the difference between a company's current assets, such as cash, accounts receivable (customers' unpaid bills) and inventories of raw materials and finished goods, and its current liabilities, such as accounts payable.

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