What is working capital management?

QuestionsWhat is working capital management?
Priya Vishwas asked 2 weeks ago
   
3 Answers
Nikhil Rawat answered 2 weeks ago
Working capital management is a process of managing the cash flow of a business. It includes managing the inventory, accounts payable and receivables, and other sources of liquidity. Working capital management is important because it can help improve the business’s cash flow and reduce its working capital needs. It helps businesses to manage their inventory levels and maximize their profits by increasing sales volume.  
Deepak Goyal answered 2 weeks ago
Working capital management is the process of managing the cash, inventory, and receivables that a business needs to operate efficiently. Working capital management can be broken down into three main components: 1) Managing inventory 2) Managing receivables 3) Managing cash.  
Akshaj Singh answered 2 weeks ago
Working capital management is the process of using cash flows and liquidity to manage a company's assets. It includes managing the amount of working capital, which is the difference between current assets and current liabilities. Working capital management has become increasingly important in today's business world because of its ability to create value through its impact on asset turnover, efficiency, and cost control.