The Role of Net Working Capital in the Financing of the Operating Activities of Mining Companies

The paper examines how companies’ net working capital is used to finance their operating activities. Net working capital is a source oflong-term financing (equity and long-term external capital) and is more expensive than financing through short-term sources, henceits rational use has a significant impact on the efficiency of companies’ operations. The computed level of net working capital is usedto calculate ratios enabling companies to control this capital. The ratios indicate the relationship of net working capital to currentassets, to the sum of accounts receivable and short-term investments, to cash and cash equivalents, and sales revenues. Based on thesecalculations of the relationships, an assessment was made of net working capital engagement in the financing of operating activities inmining companies. These companies maintain a high degree of current asset financing through long-term capital. In mining companieswith diverse mining activities, the level of current assets financing through long-term capital is higher than in coal mining companies.This is due to the maintenance of a higher level of inventories of extracted raw materials, the distance of outlets from the place ofextraction and the method of transport used. Based on the ratio of net working capital to cash and cash equivalents, it was found thatsome companies were overly liquid. Cash balances significantly exceed the value of this capital over a period of three to four years. Asurplus of cash over net working capital in the short term cannot be treated as excess liquidity, as it is the due to flexible managementof this capital.

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Footprint of Personality Characteristics on Financing Objectives: The Arbitrating capacity of Risk Attitude and the Moderating capacity of Investment Savvy

European Journal of Business Management and Research ◽

10.24018/ejbmr.2021.6.4.971 ◽

2021 ◽

Vol 6 (4) ◽

pp. 163-169

Author(s):

Javed Hussain ◽

Tariq Mehmood Dar ◽

Neelofer Tariq

Keyword(s):

Risk Attitude ◽

Personality Characteristics ◽

Short Term ◽

Long Run ◽

Dependent Variables ◽

Relationship Of ◽

The Relationship ◽

Moderating Role

The following study clarifies the role of risk attitude in revolving the relationship between Financing Objectives and personality characteristics and the moderating role of investment savvy between risk attitude and financing objectives by the particular sample size of 200 students. The participants of the study belonged from finance background. To simplify the collected data, the regression analyses was utilized in a flow to implicate the effect upon the dependent variables of the independent variables. To get more enhanced results, the mediator and the moderator were uplifted. Hence by, the results revealed that individuals who are activity, determined, and sympathy towards others are more willing to opt for STFO (short term financing objectives). Whilst, in long run extraversion, openness to experience and agreeableness, and conscientiousness traits are more inclined towards LTFO (long term financing objectives). Moreover, the study further mentions that STFO and LTFO are not much affected by investment savvy of an individuals. Nonetheless, the investment savvy is not really bothered by the relationship of financing objectives and risk attitude.

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FINANCIAL SUSTAINABILITY OF UKRAINIAN ENTERPRISES AS A GUARANTEE OF THEIR EFFECTIVE FUNCTIONING

Market Infrastructure ◽

10.32843/infrastruct59-22 ◽

2021 ◽

Author(s):

Yulia Shushkova ◽

Veronika Ishchenko

Keyword(s):

Financial Stability ◽

Well Being ◽

Economic Conditions ◽

Stable Operation ◽

Working Capital ◽

Short Term ◽

Operation Analysis ◽

Integral Element

One of the key vectors of the enterprise is to ensure its financial stability, which mainly depends on how the enterprise is financially stable. Therefore, the article is devoted to the study of financial stability of Ukrainian enterprises. In particular, the article reflects the approaches of scientists to the interpretation of the concept of “financial stability of enterprises”, presents its main features. Also, the analysis of financial stability of domestic economic entities in the dynamics for 2015–2019 using the relative coefficients of financial stability: the coefficient of autonomy (financial independence), the coefficient of financial dependence, and the coefficient of own working capital, the coefficient of long-term borrowing, the coefficient of borrowing short-term borrowings and equity maneuverability ratio. Based on the results of the calculation study, the relevant conclusions were made about the state of financial stability of Ukrainian enterprises. The aim of the article is to highlight the theoretical aspects of the concept of “financial stability”, including interpretation, approaches to assessing the financial stability of enterprises, stages of assessing financial stability, analysis of financial stability of Ukrainian enterprises, and determining the role of financial stability in ensuring stable operation. Analysis of financial stability of enterprises is an integral element for assessing their performance and financial well-being, as it reflects the results of their current, investment and financial development, generates the necessary information field for investors, and indicates whether companies are able to meet their debts and obligations. The essence of financial stability is the effective formation, distribution and use of financial resources by enterprises. After analyzing both absolute and relative indicators of financial stability of Ukrainian enterprises, it can be noted that their financial stability is not high, as evidenced by the lack of working capital. It is worth noting that one of the reasons for inadequate financial stability is the economic conditions and economic environment, which is not stable and changes quite often in our country.

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Working capital allocations and productivity: empirical issues and role of asset utilization

International Journal of Productivity and Performance Management ◽

10.1108/ijppm-10-2020-0515 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Gaurav Singh Chauhan

Keyword(s):

Firm Value ◽

Relative Role ◽

Working Capital ◽

Short Term ◽

Content Type ◽

The Past ◽

Marginal Impact ◽

The Relationship

PurposeThe article highlights potential mismeasurement in working capital allocations among academicians and practitioners and revisits the relationship between firms' working capital and productivity, as evident from their values.Design/methodology/approachThe research design acknowledges the relative role of firms' working capital vis-a-vis other assets in generating revenue, thereby effectively accounting for the overall asset efficiency in influencing firm value. The authors use a multivariate framework to draw inferences from the marginal impact of working capital and its components on firm value while controlling for asset utilization.FindingsThe authors find that, after accounting for asset utilization, the marginal impact of working capital and its components on firm value is quite weak. The results are consistent with the hypothesis that firms' trade-off between short-term and long-term assets per se should not have any value implications. After controlling for their asset turnovers, the authors find that higher allocations to working capital relative to other assets are not necessarily value-destructive. The findings contrast with the past literature.Research limitations/implicationsThe article, through its analytical and empirical insights, suggests that working capital allocations should be measured by managers and academicians relative to firms' other asset rather than their sales. Firm values should, therefore, be compared based on firms' overall asset utilization rather than inter-temporal allocations to short-term versus long-term assets.Originality/valueContrary to the existing literature so far, the article explicitly acknowledges the relative role of firms' other assets, and hence the overall asset utilization, to infer the marginal impact of working capital on firm value.

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Impact of FII’s and FDI’s on Indian Stock Market

Adhyayan A Journal of Management Sciences ◽

10.21567/adhyayan.v1i1.10220 ◽

2016 ◽

Vol 1 (1) ◽

Author(s):

Dr. Kamlesh Kumar Shukla

Keyword(s):

Stock Market ◽

Financial Markets ◽

Global Economy ◽

Short Term ◽

Earnings Growth ◽

The Past ◽

Bull Market ◽

Indian Stock Market

FIIs are companies registered outside India. In the past four years there has been more than $41 trillion worth of FII funds invested in India. This has been one of the major reasons on the bull market witnessing unprecedented growth with the BSE Sensex rising 221% in absolute terms in this span. The present downfall of the market too is influenced as these FIIs are taking out some of their invested money. Though there is a lot of value in this market and fundamentally there is a lot of upside in it. For long-term value investors, there’s little because for worry but short term traders are adversely getting affected by the role of FIIs are playing at the present. Investors should not panic and should remain invested in sectors where underlying earnings growth has little to do with financial markets or global economy.

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Introduction: Kinship Bereavement in Later Life

OMEGA - Journal of Death and Dying ◽

10.2190/bd9q-rqyb-1x18-9evp ◽

1997 ◽

Vol 35 (1) ◽

pp. 1-7 ◽

Cited By ~ 1

Author(s):

Brian De Vries

Keyword(s):

Adult Child ◽

Later Life ◽

Short Term ◽

Traumatic Grief ◽

Death Of A Parent ◽

De Vries ◽

Longitudinal Effects ◽

Analysis Of Variation

This article introduces a volume devoted to the examination of later-life bereavement: an analysis of variation in cause, course, and consequence. Six articles address and represent this variation and comprise this volume: 1) Prigerson et al. present case histories of the traumatic grief of spouses; 2) Hays et al. highlight the bereavement experiences of siblings in contrast to those spouses and friends; 3) Moss et al. address the role of gender in middle-aged children's responses to parent death; 4) Bower focuses on the language adopted by these adult children in accepting the death of a parent; 5) de Vries et al. explore the long-term, longitudinal effects on the psychological and somatic functioning of parents following the death of an adult child; and 6) Fry presents the short-term and longitudinal reactions of grandparents to the death of a grandchild. A concluding article is offered by de Vries stressing both the unique and common features of these varied bereavement experiences touching on some of the empirical issues and suggesting potential implications and applications.

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Shades between Black and Green Investment: Balance or Imbalance?

Sustainability ◽

10.3390/su13095024 ◽

2021 ◽

Vol 13 (9) ◽

pp. 5024

Author(s):

Vítor Manuel de Sousa Gabriel ◽

María Mar Miralles-Quirós ◽

José Luis Miralles-Quirós

Keyword(s):

Risk Factor ◽

Oil Prices ◽

Oil Price ◽

Short Term ◽

Environmental Indices ◽

Long Run ◽

Green Investment ◽

Bounds Test

This paper analyses the links established between environmental indices and the oil price adopting a double perspective, long-term and short-term relationships. For that purpose, we employ the Bounds Test and bivariate conditional heteroscedasticity models. In the long run, the pattern of behaviour of environmental indices clearly differed from that of the oil prices, and it was not possible to identify cointegrating vectors. In the short-term, it was possible to conclude that, in contemporaneous terms, the variables studied tended to follow similar paths. When the lag of the oil price variable was considered, the impacts produced on the stock market sectors were partially of a negative nature, which allows us to suppose that this variable plays the role of a risk factor for environmental investment.

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The key role of contact time in elucidating the mechanisms of enhanced decontamination by Fe0/MnO2/sand systems

Scientific Reports ◽

10.1038/s41598-021-91475-x ◽

2021 ◽

Vol 11 (1) ◽

Author(s):

Viet Cao ◽

Ghinwa Alyoussef ◽

Nadège Gatcha-Bandjun ◽

Willis Gwenzi ◽

Chicgoua Noubactep

Keyword(s):

Contact Time ◽

Diffusive Transport ◽

Iron Hydroxides ◽

Iron Corrosion ◽

Short Term ◽

Batch Studies ◽

Water Decontamination ◽

Co Precipitation

AbstractMetallic iron (Fe0) has shown outstanding performances for water decontamination and its efficiency has been improved by the presence of sand (Fe0/sand) and manganese oxide (Fe0/MnOx). In this study, a ternary Fe0/MnOx/sand system is characterized for its discoloration efficiency of methylene blue (MB) in quiescent batch studies for 7, 18, 25 and 47 days. The objective was to understand the fundamental mechanisms of water treatment in Fe0/H2O systems using MB as an operational tracer of reactivity. The premise was that, in the short term, both MnO2 and sand delay MB discoloration by avoiding the availability of free iron corrosion products (FeCPs). Results clearly demonstrate no monotonous increase in MB discoloration with increasing contact time. As a rule, the extent of MB discoloration is influenced by the diffusive transport of MB from the solution to the aggregates at the bottom of the vessels (test-tubes). The presence of MnOx and sand enabled the long-term generation of iron hydroxides for MB discoloration by adsorption and co-precipitation. Results clearly reveal the complexity of the Fe0/MnOx/sand system, while establishing that both MnOx and sand improve the efficiency of Fe0/H2O systems in the long-term. This study establishes the mechanisms of the promotion of water decontamination by amending Fe0-based systems with reactive MnOx.

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Reform in the international food aid regime: the role of consensual knowledge

International Organization ◽

10.1017/s0020818300001491 ◽

1992 ◽

Vol 46 (1) ◽

pp. 225-264 ◽

Cited By ~ 18

Author(s):

Raymond F. Hopkins

Keyword(s):

Economic Development ◽

International Organizations ◽

Epistemic Community ◽

Food Aid ◽

Local Production ◽

Short Term ◽

The 1950S ◽

Food Imports

The principles and norms adopted by the regime governing food aid in the 1950s have changed substantially during the subsequent three decades. Explaining the changes necessarily includes analyzing the efforts of an international epistemic community consisting of economic development specialists, agricultural economists, and administrators of food aid. According to the initial regime principles, food aid should be provided from donors' own surplus stocks, should supplement the usual commercial food imports in recipient countries, should be given under short-term commitments sensitive to the political and economic goals of donors, and should directly feed hungry people. As a result of following these principles, the epistemic community and other critics argued, food aid often had the adverse effects of reducing local production of food in recipient countries and exacerbating rather than alleviating hunger. The epistemic community (1) developed and proposed ideas for more efficiently supplying food aid and avoiding “disincentive” effects and (2) pushed for reforms to make food aid serve as the basis for the recipients' economic development and to target it at addressing long-term food security problems. The ideas of the international epistemic community have increasingly received support from international organizations and the governments of donor and recipient nations. Most recently, they have led to revisions of the U.S. food aid program passed by Congress in October 1990 and signed into law two months later. As the analysis of food aid reform demonstrates, changes in the international regime have been incremental, rather than radical. Moreover, the locus for the change has shifted from an American-centered one in the 1950s to a more international one in recent decades.

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Economic valuation and the commodification of ecosystem services

Progress in Physical Geography Earth and Environment ◽

10.1177/0309133311421708 ◽

2011 ◽

Vol 35 (5) ◽

pp. 613-628 ◽

Cited By ~ 295

Author(s):

Erik Gómez-Baggethun ◽

Manuel Ruiz-Pérez

Keyword(s):

Ecosystem Services ◽

Environmental Policy ◽

Biodiversity Conservation ◽

Economic Valuation ◽

Short Term ◽

Valuation Of Ecosystem Services ◽

Equity Of Access ◽

The Way

In the last decade a growing number of environmental scientists have advocated economic valuation of ecosystem services as a pragmatic short-term strategy to communicate the value of biodiversity in a language that reflects dominant political and economic views. This paper revisits the controversy on economic valuation of ecosystem services in the light of two aspects that are often neglected in ongoing debates. First, the role of the particular institutional setup in which environmental policy and governance is currently embedded in shaping valuation outcomes. Second, the broader economic and sociopolitical processes that have governed the expansion of pricing into previously non-marketed areas of the environment. Our analysis suggests that within the institutional setup and broader sociopolitical processes that have become prominent since the late 1980s economic valuation is likely to pave the way for the commodification of ecosystem services with potentially counterproductive effects in the long term for biodiversity conservation and equity of access to ecosystem services benefits.

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