Horniman Horticulture

2017 ◽  
pp. 1-5
Author(s):  
Michael J. Schill
Keyword(s):  
Cash Flow ◽  
Business Owners ◽  
Free Cash Flow ◽  
Capital Management ◽  
Working Capital ◽  
Negative Effects ◽  
Working Capital Management ◽  
Financial Ratio ◽  
Financial Ratio Analysis ◽  
The Difference

This case captures the cash-flow and working-capital management problems typical of small, growing businesses. At the end of 2005, Bob and Maggie Brown have completed their third year of operating Horniman Horticulture, a $1-million-revenue woody-shrub grower in central Virginia. While experiencing booming demand and improving margins, the couple is puzzled by their plummeting cash balance. The case highlights the difference between cash flow and accounting profits, as well as the common negative effects of growth on cash flow. The case provides a forum for establishing appreciation for the relevance of free cash flow to business owners and managers, introducing financial ratio analysis, developing the concept of the cash cycle and working-capital management, and motivating the use of financial models.

scholarly journals The Company's Working Capital during the Covid-19 Pandemic to Increase the Profitability Limited Company Telkomsel in Makassar City

2021 ◽  
Vol 2 (2) ◽  
pp. 135
Author(s):  
Muhammad Luthfi Siraj ◽  
Aslinda Aslinda ◽  
M Awaluddin ◽  
Maya Kasmita ◽  
Andi Caesar To Taddampali
Keyword(s):  
Descriptive Analysis ◽  
Financial Statement ◽  
Observation Data ◽  
Analysis Method ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Financial Ratio ◽  
Financial Ratio Analysis ◽  
Limited Company

This study aims to determine the optimization of working capital in increasing the profitability of Limited Company Telkomsel. The research method used is descriptive with a quantitative approach using financial statement data sources for the three years 2017 to 2019. This research uses observation data collection techniques, questionnaires and documentation. Descriptive analysis method and inferential statistical analysis with financial ratio analysis by comparing the current ratio with the ratio in the previous year. From the analysis and discussion results indicate that Limited Company Telkomsel, experienced that the overall working capital management was not optimal from 2017 to 2019. Working capital management could not run optimally because of the working capital turnover that occurred at Limited Company Telkomsel only reached the highest number of 4.42 times, while looking at the lowest cash turnover in 2019 which reached 2.61 times. Turnover of working capital at Limited Company. Although it is considered that Telkomsel has a fairly optimal cash and receivable turnover rate, this has not been able to significantly increase the company's profitability compared to previous years.

scholarly journals THE EFFECT OF WORKING CAPITAL MANAGEMENT ON FINANCIAL PERFORMANCE AND OPERATIONAL CASH FLOWS OF COMPANIES ACCEPTED IN TEHRAN SECURITIES EXCHANGE

2019 ◽  
Vol 7 (6) ◽  
pp. 625-632
Author(s):  
Ali Asghar Sameni ◽  
Razieh Fakour
Keyword(s):  
Financial Performance ◽  
Cash Flow ◽  
Cash Flows ◽  
Net Income ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Operating Profit ◽  
Operating Cash Flow ◽  
The Difference

Purposes: Working capital management can have a huge impact on financial performance and operational cash flows. In this research, the effect of working capital management components on financial performance and operating cash flows have been investigated. Methodology: The data used in this study are financial statements of companies listed in Tehran securities exchange for the period 2007 to 2011. Results: The difference between sales and operating profit as a benchmark for measuring performance and the difference between operating cash flow and operating profit as a measure of operating cash flow has been used. Regression results show that there is no meaningful relationship between the components of working capital management with financial performance and operating cash flow. Implications/Applications: Net income represents the change in a business's financial circumstances incurred through that business choosing to run its revenue-producing operations for one specific time period. Because the business cannot choose to run its revenue-producing operations without incurring expenses while doing so, net income is equal to revenues minus expenses. Expenses are often divided up into additional categories for ease of comprehension. Revenues minus cost of sales is equal to gross profit; gross profit minus operating expenses is equal to operating profit. Novelty/Originality: The novelty of this study is a balance between current assets and current liabilities, as well as maintaining a balance between profitability and liquidity which can serve a great purpose in the economy.

The Merchandising Ratio: A Comprehensive Measure of Working Capital Strategy

1999 ◽  
Vol 14 (2) ◽  
pp. 255-267 ◽  
Author(s):  
Jane M. Cote ◽  
Claire Kamm Latham
Keyword(s):  
Alternative Measure ◽  
Ratio Analysis ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Financial Ratio ◽  
Analytical Skills ◽  
Accounting Curriculum ◽  
Financial Ratio Analysis ◽  
Current Asset

This teaching note has two objectives. First, it explores the limitations of the traditional measures of working capital management presented in the financial ratio analysis component of a typical accounting curriculum. Second, it presents an additional or alternative measure based on early work in the finance literature. Three current asset and liability accounts are combined into a single “Merchandising Ratio,” which provides a measure of the net effect of a firm's working capital management strategy. Data from a sample of retailing companies demonstrate how the merchandising ratio can be used to enhance students' analytical skills.

scholarly journals Analisis Modal Kerja untuk Peningkatkan Produktivitas pada PT. Unilever Indonesia, Tbk. Periode 2006-2010

2012 ◽  
Vol 3 (2) ◽  
pp. 749
Author(s):  
Engelwati Gani
Keyword(s):  
Production Cost ◽  
Cost Savings ◽  
Ratio Analysis ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Financial Ratio ◽  
Analysis Techniques ◽  
Financial Ratio Analysis ◽  
Productivity Ratio

The study was conducted at PT. Unilever Indonesia, Tbk, which aims to determine the level of working capital management and corporate productivity. Quantitative analysis methods used and data analysis techniques used are the working capital analysis, financial ratio analysis and the analysis of the productivity ratio. Research results obtained from the results that a decrease in working capital at PT. Unilever Indonesia, Tbk. from the year 2006-2010 which decreases the amount of current assets while current liabilities increased. PT levels of liquidity. Unilever Indonesia, Tbk. is also quite low and has decreased every year. Expected PT. Unilever Indonesia, Tbk. able to increase the amount of current assets to cash and cash equivalents productivity is not compromised. Productivity ratio of PT. Unilever Indonesia, Tbk in 2010 has increased due to production cost savings and increased sales obtained. This suggests a tight working capital management is carried out by PT. Unilever Indonesia, Tbk. can increase company productivity.

scholarly journals Pengaruh Manajemen Modal Kerja Terhadap Profitabilitas (Studi Empiris Perusahaan Manufaktur Yang Terdaftar Di Bursa Efek Indonesia)

2012 ◽  
Vol 4 (1) ◽  
pp. 35
Author(s):  
Ika Permatasari ◽  
Dian Puspitasari
Keyword(s):  
Logistic Regression ◽  
Cash Flow ◽  
Stock Exchange ◽  
Value Added ◽  
Flow Ratio ◽  
Capital Management ◽  
Working Capital ◽  
Current Ratio ◽  
Working Capital Management ◽  
Equity Ratio

AbstractThis research aims to analyze the affect between working capital management as measured by current ratio (CR), cash flow ratio (CFR), and debt to equity ratio (DER) to profitability as measured by value added (VA). The sample used was manufacturing company listed on Indonesia Stock Exchange period 2009-2011. The analysisis using logistic regression. The results show thatcurrent ratio had negativeeffect on the profitability and cash flow ratio had positiveeffect on the profitabilityratio. However, debt to equity ratio had no effect on profitability.

scholarly journals Working Capital Management in Ancillary’s of BHEL, Tiruchirappalli, Tamil Nadu

2018 ◽  
Vol 7 (3) ◽  
pp. 14-17
Author(s):  
D. Muthusamy ◽  
M. Sathish Kumar
Keyword(s):  
Tamil Nadu ◽  
Raw Materials ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Book Value ◽  
Current Asset ◽  
Time Gap ◽  
The Difference

The amount of profit largely depends on the magnitude of sales. However sales do not converted into cash instantaneously in this concern. There is always a time gap between the sales of goods and receipt of cash. Working capital is required for this period in order to sustain the conversion activity. In case adequate working capital is not available for the period, the company will not be in a position to sustain the sales since it may not be in a position to purchase raw materials, payment of wages and other operating expenses that required for manufacturing the goods that to be sold. It is a descriptive that capital which is to consider the difference between book value of current asset and current liabilities. This study has to analysis the working capital management in ancillary units of BHEL.

Blackhawk Urology

2017 ◽  
pp. 1-2
Author(s):  
Michael J. Schill
Keyword(s):  
Cash Flow ◽  
Medical Practice ◽  
Business Owners ◽  
Business Practice ◽  
Financial Statement ◽  
Negative Effects ◽  
Practice Perspective ◽  
Professional Business ◽  
The Common ◽  
The Difference

This case has been significantly revised to update its currency and to be more concise. In early 2015, two partners in an Oklahoma medical practice must reconcile their booming urology business with declines in practice cash flow. The case highlights the difference between cash flow and accounting profits, as well as the common negative effects of growth on cash flow. It provides a straightforward introduction to simple financial-statement modeling and an opportunity to develop intuition on the importance of cash flow to business owners. The case is tailored to an audience with a professional business-practice perspective.

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