Related InterviewSolutions

• Keeping in mind that it is a highly capital intensive sector, what factors will affect the fixed and working capital ? Given reasons with regard to both in support of your answer.
• Sudha is an enterprising business woman who has been running a poultry farms for the past ten years. She ahs saved Rs.4 Lakhs from her business. She shared with her family her desire to utilise this meney to expand her business. Her family members gave her different suggestions like buying new machinery to replace the existing one, acquiring altogether new equipments with latest technology, opening a new branch of the poultry farm in another city ans so on. Since these decisions are crucial for her business, involve a huge amount of money and are irreversible except at a huge cost, Sudha wants to analyse all aspects of the decisions, before taking any final decision.
• Sudha is an enterprising business women who has been running a poultry farm for the past ten years. She has saved `Rs4,00,000` from her business. She shared wiht her family her desire to utilise money to expand her business. Her family members gave her different suggestions like buying new machinery to replace the exiciting one, acquiring altogether neq equipments with latest technology, opeing a new branch of the poultry farm in another city and so on. Since these decisions are crucial for her business, involve a huge amount of money and are irreversible expect at a huge cost, Sudha wansts to analyse all aspects to the decisions, before taking any final decision. (i) Identify and explain the financial deciwsion to be taken by Sudha. (ii) Also, explain the briefly the factors that will affect this decision.
• State two purposes of business fiance.
• Aarohan Ltd. An automobile manufacturer was diversifying into manufacturing two-wheelers. They knew that india is on a growth path and a new breed of consumer is eager for a first vehicle. The market responded very well to the new product. The company did not have to allow credit, as it had advance orders from four to six months with deposists paid. also, due to efficiency in managing their operations as soon as a vehicle was off the assembely line, it was out to the dealers. Give any one reson discussed above which helped the firm in managing its working capital efficiently.
• Explain any four factors which affect the working capital requirement of a company.
• You are the financial manager of a newly established company. The directors have asked you determine the amount of working capital requirement for the company. Explain any four factors that you will consider while determining the working capital requirement for the company .
• Harish is enagaged in warehouding business and his warehouses are generally used by the businessmen to store fruits. Identify the working capital requirements of Harish giving reason in support of your answer .
• What is working capital? How is it calculated ? Discuss four important determinants of working capital requirement.
• Explain briefly any four factors afffecting the fixed captial , requirement of an organisation.