The excess of current assets over current liabilities is
Answer Details
The excess of current assets over current liabilities is known as working capital. It represents the amount of funds that a business has available for its day-to-day operations. Current assets include cash, accounts receivable, and inventory, while current liabilities include accounts payable and other short-term debts. The working capital is important because it indicates a company's ability to pay its short-term debts and continue its operations. A positive working capital means that a company has enough funds to cover its short-term debts, while a negative working capital may indicate financial difficulties and potential bankruptcy.