This is called "net" working capital.

Non-cash current assets (so minus cash, cash/equivalents) minus Non-cash current liabilities (minus any current portion of long-term debt, capital lease obligations, etc.)

The idea is that "short-term" cash and debt can be easily manipulated. I.e., you could borrow $100 mil today and your cash could shoot up, with the liability being reflected in long-term debt. This is would skew the numbers and not represent the true "cost of funding the business"

That's my understanding, but i defer to someone more knowledgeable about finance/accounting to chime in

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Understood. For the purposes of discussion let's say it is material. I've heard varying opinions, regardless of materiality for including and not including the working capital line. Curious how others view this.

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