What is working capital and what does it tell you?

• Cash on hand plus outstanding debt, measuring the total pool of funds available to run the business
• Long-term assets minus long-term liabilities, reflecting the resources committed to the business over the long run
• Total assets minus total liabilities, capturing everything the business owns net of everything it owes
• Current assets minus current liabilities; a measure of short-term operating liquidity
• Revenue minus operating expenses, showing the profit left over from a company's core operations each period