what is net cash 
net cash is a figure that is reported on a company s financial statements it is calculated by subtracting a company s total liabilities from its total cash the net cash figure is commonly used when evaluating a company s cash flows net cash may also refer to the amount of cash remaining after a transaction has been completed and all associated charges and deductions have been subtracted julie bang investopediaunderstanding net cashsimilar to the current ratio net cash is a measure of a company s liquidity or its ability to quickly meet its financial obligations a company s financial obligations can include standard operating costs payments on debts or investment activities to calculate net cash you must first add up all cash not credit receipts for a period this amount is often referred to as gross cash once totaled cash outflows paid out for obligations and liabilities are deducted from gross cash the difference is net cash 