Working capital management, Managerial Accounting

A managerial accounting strategy focusing mainly on maintaining efficient levels of both components of working capital that is current assets and current liabilities, with respect to each other. Working capital management assures that a company has enough cash flow so as to meet its short-term debt obligations and operating expenses.

Working capital management is concerned with making sure we have exactly the right amount of money available to the business at all times. If a business has no idea about its liquidity and working capital situation then it could be in serious trouble.

 

 

 

Posted Date: 7/25/2012 7:20:03 AM | Location : United States







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