OBJECTIVES OF THE WORKING CAPITAL MANAGEMENT - Accounts and Finance for Managers

Estimating the working capital requirements

The working capital requirements are normally estimated to the tune of production policies, nature of the business, length of manufacturing process, credit policy and so on.

Sources of the working capital: The requirement of the working capital should be met with the help of long term and shot term resources. The permanent and temporary working capital requirements should be met out of long term and short term financial resource respectively.


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