easy · Investment Banking implied-share-price

Which of the following is the correct definition of 'Net Debt'?

  1. Total liabilities minus total assets, per the company's balance sheet.
  2. Total interest-bearing debt minus unrestricted cash and cash equivalents.
  3. Current liabilities minus current assets, a short-term liquidity measure.
  4. Long-term debt minus the net working capital required for the firm's daily operations.

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