Capital Management

The working capital management’s objective is to assure the firm that it is capable of progressing in its functions and different processes and that it has sufficient capacity to meet the challenges of short-term debt and future operational costs. The various business operations in which the management of working capital is required include the managing of accounts and inventories, etc.

This unit seeks to deliver guidance on the significance of working capital, operating cycle and various kinds of working capital.

On completion of this unit, candidates will be able to understand the various components of working capital and the importance of working capital management.

It also illustrates how to measure working capital and manage cash flows, including a look at the criteria for efficiency in managing working capital.