The management of working capital is most crucial for which of the following aspects of business?
The management of working capital is most crucial for which of the following aspects of business?
The management of working capital is most crucial for liquidity. Liquidity refers to the ability of a company to meet its short-term obligations, and managing working capital involves ensuring that the company has enough current assets to cover its current liabilities. Effective working capital management ensures that a business can maintain smooth operations and avoid cash flow problems, which directly impacts its liquidity.
Should this be liquidity? Anyone?
Agree with you here
Working capital represents the net current assets available for day-to-day operating activities.I thinkAis better than D