1.

Explain What Factors Affect Working Capital Requirement?

Answer»

Factors affecting WORKING capital requirement:

  1. Nature of business
  2. Size of the organization
  3. Phase of trade cycles
  4. PRODUCTION policies
  5. Turnover of INVENTORIES
  6. Dividend Policies
  7. TRADING terms
  8. Length of production cycle
  9. Profitability
  10. SEASONAL Variations.

Factors affecting working capital requirement:


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