Differences in working capital for different industries, Financial Management

Assignment Help:

Differences in working capital for different industries


 

Manufacturing

Retail

Service

Inventories

High volume.

WIP and finished goods

Goods  for  re-sale  only,

usually low volume

No  or  very  little

inventories

Trade

Receivables

High  levels  of  debtors,  as dependant  on  a  few customers

Very  low  levels  as  most

goods bought by cash

Usually  low  levels as services are paid for immediately

Trade

Payables

Low  to  medium  levels  of Payables

Very  high  levels  of  trade

payables  due  to  the  huge

purchases of inventory

Low  levels  of

payables


Related Discussions:- Differences in working capital for different industries

Calculate actual returns using the dividend discount model, You've just won...

You've just won a huge $100 million lottery.  You've decided to invest your winnings in the following way:  $30 million in real estate,  $30 million in  corporate bonds and $40 mil

Finance, a recent business school graduate, you work directly for the corpo...

a recent business school graduate, you work directly for the corporate treasurer. Your corporation is going to issue a new security plan and is concerned with the probable flotatio

What is the cash flows from financing activities, Cash flows from financing...

Cash flows from financing activities: Items included in this heading are: Cash receipts Cash payments Cash  receipts  from  iss

Please help me solve this question, there are 3 compaies i have to find out...

there are 3 compaies i have to find out the price of equity share by using walters and gordons model.

How does the net present value relate to value of the firm, How does the ne...

How does the net present value relate to the value of the firm? The net present value is the dollar amount of the amend to the value of the firm if the project under considerat

Unity of command, Unity of Command Unity of command is the principle in...

Unity of Command Unity of command is the principle in which each subordinate should be responsible to only one manager.

Pension fund management, Pension fund management Pension fund systems o...

Pension fund management Pension fund systems ought to be carefully designed and supervised to make sure that their purposes are met, the economic consequences are appropriate a

Which method should we use to valuate young companies, Which method should ...

Which method should we use to valuate young companies with high growth but uncertain futures? Two examples were Boston Chicken and Telepizza when they began. The great majo

Financial accounting, Briefly explain the accounting concepts which guide t...

Briefly explain the accounting concepts which guide the accountant at the recording stage.

Geographical classification of mutual funds , Geographical Classification o...

Geographical Classification of Mutual Funds : Nations' boundaries provide territorial restrictions on the sale and purchase of mutual fund units or shares as is the case in com

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd