Working Capital( Wc) Analysis

Year WC= Current Assets- Current liabilities

2014 WC=123.91-190.64=(66.73)
2015 WC=106.281-152.826=(46.545)
2016 WC=90.564-125.002=(34.368)
2017 WC=116.152-91.301=24.851
2018 WC=

Interpretation:

According to my interpretation from the above data, I found that the working capital of Reliance
Industries Ltd of Mar-14 is Rs (66.73) , Mar-15 is Rs (46.546) and in Mar-16 is Rs (34.386) and
in Mar-17 Rs 24.851 and in Mar-18 Rs It show that company can not use more working capital
in first year Mar-14 than next two year continue reduce the working capital in Mar-15 and Mar-
16 respectively and last three year working capital continue in negative process then Mar-17-18
Working capital came positive that was good for company
If working capital is more used in company it means, It show that company is in growing stage.
Hence the company's sales is more But if the w.c is less in company, it show that company in
not in growing stage and sales is also less. Compare to previous year Mar-14 company is not
growing stage and selling of its products per unit is not increased and in Mar-15-16 both year
company growing stage is down and selling of its product also decreased but in Mar-17-18
Company is growing stage and its selling of its products increased because in this year company
can use more working capital compare to previous year.