Hello everyone,



Forgive me if I am being completely stupid...



Colin posted a post a while back asking why there were differences between receivables on the balance sheet and in the cash flow statement - to which the reply was that there shouldn't be.



I am having similar problems but with regards to working capital in general. I can't get my head round why there would be a difference in a company's changes in working capital on the balance sheet and their changes in working capital on the cash flow statement.



Am i right in saying that to calculate changes in WC we just take say: this year's CA - CL and then subtract last years CA - CL?



If thats the case then shouldn't the cash flow statement figure in changes in working capital be exactly the same?



Do companies include some items in WC on the cash flow statement that aren't on the balance sheet?