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Draw the diagrams and explain for each policy in detail

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Question 1: Hedwick Company is currently employing a "Conservative" working capital policy with regard to the level of current assets it maintains. The company has decided to switch to a more "Hedging" policy. What effect will this decision probably have on the company's profitability and risk? Draw the diagrams and explain for each policy in detail.

Reference no: EM132555231

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