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612-822-4611
Working Capital Management: Concepts and Strategies

Working Capital Management: Concepts and Strategies

Hardcover

AccountingInvesting & Finance

ISBN10: 9811259658
ISBN13: 9789811259654
Publisher: World Scientific Publishing Company
Published: Apr 2 2023
Pages: 544
Weight: 1.96
Height: 1.19 Width: 6.00 Depth: 9.00
Language: English

Working capital refers to the money that a company uses to finance its daily operations. Proper management of working capital is critical to financial health and operational success. Working capital management (WCM) aims to maximize operational efficiency by maintaining a delicate balance among growth, profitability, and liquidity. WCM is a continuous responsibility focusing on a firm's day-to-day operations involving short-term assets and liabilities. By efficiently managing a firm's cash, accounts receivable, inventories, and accounts payable, managers can help maintain smooth operations and improve a company's earnings and profitability. By contrast, poor WCM could lead to a lower credit score, financial insolvency, legal troubles, liquidation of assets, and potential bankruptcy.

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