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Remedies for overtrading
Short-term solutions
• Speeding up collection from customers.
• Slowing down payment to suppliers.
• Maintaining lower inventory levels.
Long term solutions
• Increase the capital by equity or longterm debt.
Q. Show the Symptoms of overtrading? Symptoms of overtrading • Fast sales growth. • Increasing trade payables. • Increasing trade receivables. • Fall in cash bal
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