Change in non cash working capital: Should following Items be included while calculating Change in non cash working capital?

1. Deferred income taxes
2. Prepaid expenses
3. Other current assets
4.Taxes payable
5. Accrued liabilities
6. Deferred revenues

If not, why not ?

Question

Change in non cash working capital: Should following Items be included while calculating Change in non cash working capital?

1. Deferred income taxes
2. Prepaid expenses
3. Other current assets
4.Taxes payable
5. Accrued liabilities
6. Deferred revenues

If not, why not ?

anonymous · Answer

I think above all can be included in non cash  working capital. those items won't earn interest.

anonymous · Answer

items related to taxes shouldnt be included. the reason being both the items mentioned are either defferd or supposed to be but will match up later on as DTL/DTA. but with one exception to be considered in case the company is in high growth and will keep investing heavely in LTA then DTL will become shareholders equity.incase company is making losses contineously DTA would possible won't match up 2 in future.
another reason is if we count it into valuation we will make it permanent part of our projection and cash flow will get inflated/deflated case on case basis.

* open for correction!!