Explain what working capital is. In addition, what makes it considered as part of operating capital?...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Explain what working capital is. In addition, what makes it considered as part of operating capital? Explain too. Cite and explain the main objective of working capital management. Specify and explain one reason on how you manage and protect your inventories. Discuss the main reason why cash is considered as the most significant liquid asset of an organization. Explain what working capital is. In addition, what makes it considered as part of operating capital? Explain too. Cite and explain the main objective of working capital management. Specify and explain one reason on how you manage and protect your inventories. Discuss the main reason why cash is considered as the most significant liquid asset of an organization.
Expert Answer:
Answer rating: 100% (QA)
Working capital is a financial calculations that represents the amount of a companys shortterm assets that are available to cover its shortterm liabil... View the full answer
Related Book For
Managerial Accounting
ISBN: 9781259275814
11th Canadian Edition
Authors: Ray H Garrison, Alan Webb, Theresa Libby
Posted Date:
Students also viewed these accounting questions
-
The main objective of working capital management for a firm is to: minimize its inventory. minimize interest expenses of the firm. minimize its current assets. maximize the value of the firm....
-
1: Explain what is audit and describe the main objective of audit. Question 2: With respect to an entity's financial statements, describe both the responsibility of management and that of the...
-
What makes an asset liquid? Why hold liquid assets? Would 100 shares of IBM stock be considered a liquid investment? Explain.
-
A horizontal cantilever beam of length l and of uniform cross-section carries a uniformly distributed load of w per unit length for the full span. The cantilever is supported by a rigid prop at a...
-
If the resultant force acting on the bracket is required to be a minimum, determine the magnitudes of F 1 and the resultant force. Set ? = 30?. 30 F= 200 N 13 12 F, 260 N
-
The highest mass peaks in the mass spectrum of Br 2 occur at m/Z 158, 160, and 162. The ratio of intensities of these peaks is approximately 1:2:1. Bromine has two stable isotopes, 79 Br (50.7%...
-
In early 2006, Henry Silverman, chairman and CEO of Cendant Corporation, announced that the companys board of directors had approved the de-merger of Cendant into four operating companiesAvis Budget...
-
The following data relate to the direct materials cost for the production of 2,000 automobile tires: (a) Determine the price variance, quantity variance, and total direct materials cost variance.(b)...
-
Roll a pair of dice 3 6 times, what is the probability of getting a double six exactly twice? Estimate this using the Poisson approximation and compare with the exact answer.
-
On June 1, John Sullivan opened a real estate office in Hamilton called Sullivan Realty. The following transactions were completed for the month of June. Note that facsimile documents have been...
-
Guide The following study guide is to help you focus your studies better in the course.You may or may not encounter a question about the following topics as everyone's test is different and come from...
-
A measurement of an electron's speed is 2.0 x 106 m/s and has an uncertainty of 10%. What is the minimum uncertainty in its position? (h = 6.626 x 10 34 J s, mel 9.11 x 1031 kg)
-
What would a 3 year pro forma income statement for a travel agency with cruise, all-inclusive resorts, Theme parks, and Tours and Tickets as the stream of income?
-
A data team uses Tableau to create a line chart of financial data, with the ability to filter by company, industry, and time period. This enables financial analysts to view how companies are...
-
Gloria withdraws $4000 from her rap to pay her credit card bill what will the withholding tax be on this withdrawal?
-
How are each of these ETC, EAC, BAC, and TCPI used?
-
and Consider the following two systems of linear equations 1.000000 +1.000000=0 1.000000x +0.999999y=1 1.000000r +1.000000y = 0 1.000000x + 1.000001y = 1. This means we make a change of 0.000002...
-
6. (Potential Energy and Conservation of Energy) What should be the spring constant k of a spring designed to bring a 1200-kg car to rest from a speed of 95 km/h so that the occupants undergo a...
-
What is the weighted average cost of capital and how should it be used in capital budgeting decisions?.
-
Colby Company makes cases for cell phones of all sizes and types for sale through specialty retailers. The company makes a standard model for the most recent iPhone as well as a deluxe model....
-
Drums, bins, boxes, and other containers that are used in the petroleum industry are sold by Holden Inc. One of the company's products is a heavy-duty, environmentally friendly, corrosion-resistant...
-
Derive the relationships among the different NTU terms for binary distillation.
-
Derive the following expression for determining \(\mathrm{K}_{\mathrm{y}} \mathrm{a}\) from the measurement of \(\mathrm{E}_{\mathrm{MV}}\) in a distillation column if the flow pattern is plug flow....
-
Develop contactor designs that combine advantages of cocurrent, crossflow, and countercurrent cascades.
Study smarter with the SolutionInn App