a) Working capital (also called gross working capital) refers to current assets.

b) Net working capital refers to current assets minus current liabilities.

c) Working capital management refers to the administration of current assets and current liabilities.

           Target levels of each category of current assets

• How current assets will be financed

 d) Liquidity management involves the planned acquisition and use of liquid resources over time to meet cash obligations as they become due. The firm’s liquidity is measured by liquidity ratio such as current ratio, quick (or acid test) ratio, cash ratio, etc.