Working Capital Management

ISBN-13: 9783838369587 / Angielski / Miękka / 2010 / 128 str.

Angelique McInnes

Opis

Should working capital be managed according to the theory of working capital then it is expected that businesses would invest in working capital, finance working capital, monitor factors that influence working capital, manage cash, accounts receivable, inventory, accounts payable, the cash conversion cycle (aggregative approach), and measure and analyze performance to ensure that the long term (fixed) assets are utilized effectively and efficiently. Based on a study to determine how working capital is managed by New Zealand listed limited liability companies, it is evident that businesses in New Zealand invest in working capital, finance working capital, monitor factors that influence working capital, and measure and analyze performance to some extent. Unfortunately, the components of working capital (cash, accounts receivable, inventory, accounts payable) are managed independently of each other. They are not managed in aggregate by means of any specific model such as the cash conversion cycle. The purpose and function of working capital are not clearly and sufficiently recognized. There are deficiencies and insufficiencies in the management of working capital in New Zealand.

O autorze

Angelique McInnes MCom (Financial Management) BComHon (Finance& Economics) BCom (Economics&Business Economics) PDip (Commerce&Management) ADipFS (Financial Planning) DipFS (Financial Planning) SA (Fin) Studied in Australia, New Zealand and South Africa. A Small Business Financial Planner for my own business, Sculpture Financial Advice Pty Ltd in Australia.