Nature Of Working Capital.
Working Capital is the firm's total investment in current assets. Current assets are assets that are likely to be converted in the cash, sold exchanged or expended in the normal course of business. Excusably within one year.
Working capital management includes the administration of each current assets account such as cash, marketable securities receivable and inventory.
FEATURES:
Working Capital is the firm's total investment in current assets. Current assets are assets that are likely to be converted in the cash, sold exchanged or expended in the normal course of business. Excusably within one year.
Working capital management includes the administration of each current assets account such as cash, marketable securities receivable and inventory.
FEATURES:
- Working capital management concerns decisions about a firm's current assets and current liabilities.
- Working capital management decisions are also required to establish and monitor appropriate levels in each working capital account of enhance the firm's profitability.
- Working capital management includes the administrating of each current liability account.
- The firm's not working capital is directly related to its current ration
Comments
Post a Comment