Nature of the business, Financial Management

Q. Nature of the business?

The working capital requirement of the firm basic depends upon the nature of the business. public utility undertaking like the water supply and railway products very limited working capital because they cash sales only and supply the service not products and such no funds are tied in the inventory and in the receivable. on the other hands trading and financial firm require less investment in the fixed assets but have to invest in the current assets like inventory and cash as such they need the large amount of the working capital.

Posted Date: 6/20/2013 2:36:29 AM | Location : United States







Related Discussions:- Nature of the business, Assignment Help, Ask Question on Nature of the business, Get Answer, Expert's Help, Nature of the business Discussions

Write discussion on Nature of the business
Your posts are moderated
Related Questions
Parallel T rade It is a form of countertrade that involves the execution of 2 distinct and individually enforceable contracts: the first for the sale of goods by an exp

Features of Treasury Bills Treasury Bills are short-term, rupee denominations issued by the Reserve Bank of India (RBI) on behalf of the Government of India. T-bills are issued

Advantage of Weighted Average Cost of capital 1) Straight Forward and logical: Weighted Average ost of Capital defines the oveall cost of capital as the sum of the cost of t

The basic form of a mortgage backed security is that of a mortgage pass-through security. Among the mortgage-related securities, the mortgage pass-through s

AOT limited is considering two mutually exclusive projects - cable and satellite.  The possible NPVs for every project and their associated probabilities are as follows: Cable:

Q. What do you mean by S Corporation? S Corporation - An S Corporation is a corporation that, under Internal Revenue Code, is normally not subject to federal income taxes. In i

Issuing Procedure of treasury bills As discussed above, the RBI on behalf of central government, announces the auctioning of T-bills by tender notification through the press. T

Q. Give subject matter of participation? Subject matter of participation by and large the workers interests in participation varies with the nature of issues' involved in parti

Can a corporation have too much working capital?  Explain. A firm can have in excess of working capital if it is losing the opportunity to invest in high returning fixed assets

Types of Financial Assets Majority of financial assets used worldwide are in the form of deposits, stocks and debt. Deposits Deposits can be made either with banking or