What is the requirement of working capital, Financial Management

Assignment Help:

Q. What is the requirement of Working Capital?

Ans. Meaning of Working Capital: - Working capital management is a significant aspect of financial management. In business money is necessary for fixed assets and working capital. Fixed assets comprise plant and machinery, land and building, furniture and fittings etc. Fixed assets are obtained to be retained in the business for a long period and yield returns over the life of such assets. The major objective of working capital management is to determine the best possible amount of working capital required. In general management of working capital means management of current assets.


Related Discussions:- What is the requirement of working capital

Valuation of shares , Example based on Valuation of Shares Share capit...

Example based on Valuation of Shares Share capital details & Types of Share Hatsun Agro private limited (HAPL) as on March 2008 had a total authorized share capital worth

Interpretations of short term solvency or liquidity ratio''s, Short Term So...

Short Term Solvency or Liquidity Ratio's   CR:          The Current Ratio is calculated by current assets to current liabilities and is the index of company's financial stab

Calculate the cash flows, Your firm will produce widgets for the next 10 ye...

Your firm will produce widgets for the next 10 years (starting at t=1). Annual revenue from selling widgets is $20,000. Production requires an initial outlay (at t=0) for machin

Discuss about stock market and stock exchanges , Successful managers and in...

Successful managers and investors understand the various financial markets and the investments these markets offer. A good understanding of potential gains and losses, as well as t

Finance for managers, Before tax cost of debt and after tax cost of debt; ...

Before tax cost of debt and after tax cost of debt; Personal finance problem. David Abbot is interested in purchasing a bond issued by Sony. He has obtained the following inform

Describes net income approach to capital structure, Q. Describes Net Income...

Q. Describes Net Income Approach to Capital Structure? Net Income Approach: - As-per to the Net Income Approach as suggested by Durand the capital structure decision is applica

Benefits of interest rate swaps, Q. Benefits of Interest rate swaps? I...

Q. Benefits of Interest rate swaps? Interest rate swaps may provide several benefits to companies including: - The ability to get finance at a cheaper cost than would be p

Qualification criteria for a bidder of contract, Q ualification criteria ...

Q ualification criteria We discussed how to prepare the bid documents. Let us now see what criteria should be considered to qualify a bidder. You will have to open bidding

Explain term financial intermediaries, Financial intermediaries Financi...

Financial intermediaries Financial intermediaries are significant to the efficient functioning of the financial markets as they act to bring the borrowers/companies and lenders

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