Working capital is defined as:

Working capital is defined as the difference between current assets and current liabilities. This measure provides insight into a company's short-term financial health and its ability to cover its operational expenses and liabilities as they come due.

Current assets are assets that a company expects to convert into cash or use up within one year, such as cash, accounts receivable, and inventory. Current liabilities are obligations that the company needs to settle within the same timeframe, including accounts payable, short-term debt, and other liabilities.

By focusing on the difference between these two categories, working capital highlights the liquidity available to a business for day-to-day operations. A positive working capital indicates that a company has sufficient assets to meet its short-term liabilities, while a negative working capital suggests potential liquidity issues.

Other definitions might refer to concepts related to a company's overall financial position but do not specifically address the short-term liquidity aspect that is captured in the definition of working capital.