scholarly journals A Study on Working Capital Management at EID Parry

2020 ◽  
Vol 6 (7) ◽  
pp. 37-41
Keyword(s):  
Balance Sheet ◽  
Secondary Data ◽  
Vital Role ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Turnover Ratio ◽  
Business Operations ◽  
Current Asset ◽  
Asset Turnover

The working capital management has an important role for the firm’s success or failure because of its effect on firm’s performance and liquidity. A well designed and implemented working capital management is expected to contribute positively to the creation of a firm’s value. “Working Capital” is the capital invested in different items of current assets needed for the business, viz, inventory, debtors, cash and other current assets such as loans & advances to third parties. Those current assets are essential for smooth business operations and proper utilization of fixed assets. The study is descriptive in nature. The secondary data is used for this study and four years balance sheet. The Working Capital Turnover Ratio, Current Asset Turnover Ratio, Probability Ratio. It was concluded that the working capital is a vital role of an organization

scholarly journals Working Capital Management (WCM) and Firm Performance in Emerging Markets: A Case of Bangladesh

2021 ◽  
Vol 10 (1) ◽  
pp. 36
Author(s):  
Rafiqul Bhuyan ◽  
Mohammad Sogir Hossain Khandoker ◽  
Noshin Tasneem ◽  
Mahjuja Taznin
Keyword(s):  
Stock Exchange ◽  
Secondary Data ◽  
Total Asset ◽  
Capital Management ◽  
Working Capital ◽  
Return On Assets ◽  
Working Capital Management ◽  
Cash Conversion Cycle ◽  
Current Asset ◽  
The Impact

We examine the impact of efficient working capital management on market value and profitability. Using secondary data on selected firms from Dhaka Stock Exchange we explore the effects of various working capital components (i.e. cash conversion cycle (CCC), current ratio (CR), current asset to total asset ratio (CATAR), current liabilities to total asset ratio (CLTAR), debt to asset ratio (DTAR), siz,e and growth) to the firm’s performance by looking firm’s value i.e. Tobin’s Q (TQ) and profitability i.e. return on asset (ROA) and return on invested capital (ROIC). Our results show that, for both food and overall manufacturing sectors, there is a significant association between working capital variables and firm’s value & return on assets, but an insignificant association with return on invested capital.

scholarly journals A Comparative Study on Working Capital Management of Tata Motors Limited and Maruti Suzuki India Limited

2021 ◽  
Vol 11 (5) ◽  
pp. 80-89
Author(s):  
Dr. Sudip Chakraborty ◽  
Shilpi Kumari
Keyword(s):  
Automobile Industry ◽  
Vital Role ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Turnover Ratio ◽  
Inventory Turnover ◽  
Increasing Demand ◽  
The Impact ◽  
Huge Investment

The automobile industry in India is one of the speedily growing industry. Working Capital Management is important in this industry due to increasing demand and huge investment in this sector requires proper management. Working Capital Management perform a vital role in the success and failure of a business due to its effect on the performance and liquidity. Thereby this study has been undertaken to Comparative analyse working capital management of Tata Motors Limited and Maruti Suzuki India Limited for the period of seven years from 2013-14 to 2019-20.  In this study three objectives are set for research. The first one was to assess the impact of working capital on sales, second was to assess the impact of working capital on profitability and third was to evaluate the working capital performance of the companies under study through the use of various financial ratios. The study reflects that the efficiency of working capital management of the companies is influenced by the Liquidity Ratios, Debtor Turnover Ratio, Inventory Turnover Ratio and profitability Ratio.

A Study On Comparison About Working Capital Management Of State Bank Of India And Industrial Credit And Investement Corporation Of India

Think India ◽  
2019 ◽  
Vol 22 (2) ◽  
pp. 251-276
Author(s):  
S. DEVI ◽  
R.POORNIMA RANI
Keyword(s):  
Main Theme ◽  
Managerial Accounting ◽  
Capital Management ◽  
Working Capital ◽  
Current Ratio ◽  
Efficient Operation ◽  
Working Capital Management ◽  
Satisfactory Level ◽  
Current Asset

Working capital management refers to a company's managerial accounting strategy designed to monitor and utilize the two components of working capital, current assets and current liabilities, to ensure the most financially efficient operation of the company. The goal of working capital management is to manage the firm’s current asset and current liabilities in such a way that satisfactory level of working capital is maintained. A study on comparison in working capital management with State Bank of India and Industrial Credit and Investment Corporation of India is analyzed to know the liquidity and current ratio. The interaction between current asset and current liabilities is therefore is the main theme of the theory of working capital management.

A Study on Working capital Management in Hindustan Petroleum Corporation Limited

2021 ◽  
pp. 164-168
Author(s):  
Sruthi B ◽  
Rashmi R
Keyword(s):  
Annual Report ◽  
Pearson Correlation ◽  
Secondary Data ◽  
Effective Management ◽  
Capital Management ◽  
Working Capital ◽  
Short Term ◽  
Working Capital Management ◽  
The Past ◽  
The Relationship

Working capital management is important for every organization as it refers to the effective management of current assets and current liabilities. The aim is to make sure that the firm is capable to continue its operations and it has sufficient cash flow to satisfy both maturing short-term debt and upcoming operational expenses. In this paper, an attempt has been made to study the management of working capital in Hindustan Petroleum Corporation Limited, a leading public sector enterprise in India over a period of 10 years (That is from 2009-10 to 2018-19). The paper also attempts to study the components of working capital and analyze the relationship between liquidity and profitability of HPCL. The study is based on secondary data collected from annual report of HPCL for the past 10 years, Pearson correlation and regression model are used for this purpose. From the study it is found that there is a significant relationship between liquidity and profitability.

scholarly journals Working Capital Management and Its Impact on Profitability in Tyre Industry: A Study of Selected Companies

2021 ◽  
Vol 2 (1) ◽  
pp. 40-46
Author(s):  
Tushar Rameshbhai Ajmera
Keyword(s):  
Regression Analysis ◽  
Financial Management ◽  
Stock Exchange ◽  
Practical Implication ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Turnover Ratio ◽  
The Impact ◽  
Tyre Industry

Purpose: The main aim of this article is to find out the working capital management and its impact on profitability in Tyre Industry of selected companies which are listed on stock exchange in India. Approach/ Methodology/ Design: For the study, a time span of 8 years from 2011-12 to 2018-19 is considered, and based on it, any relation of net profit margin ratio and working capital components like current ratio, quick ratio, inventory turnover ratio, working capital turnover ratio is considered. The sample is selected based on higher market capitalisation during the study period. Regression analysis is also employed to investigate the impact of WCM on corporate profitability. Findings: The major findings of this study indicate that the profitability of Balkrishana was good   compared to the other companies. The working capital of Ceat shows highly positive working capital management, whereas Apollo shows negative working capital management. These results were identified with the help of accounting tool as Ratio analysis and statistical tools as Regression analysis and ANOVA test for selected data. Practical Implication: The study examines the scenario of tyre industry with the help of working capital management in selected companies. The results of the study could be an indicator of the performance of the selected companies.   Originality/Value:  This paper provides some key insights to health and efficiency of the selected companies. The working capital ratios are indicative of good working capital management, leading to identifying issue in financial management and eventually improving the performance of the tyre industry.

scholarly journals WORKING CAPITAL MANAGEMENT OF TRADE ENTERPRISES FROM THE POSITION OF FUNCTIONAL AND REFLECTING AND STRUCTURAL AND CLASSIFICATION APPROACHES

2019 ◽  
pp. 68-77
Author(s):  
Oksana Blуznіuk ◽  
Alona Sifurova
Keyword(s):  
Asset Management ◽  
Financial Stability ◽  
Retail Trade ◽  
Enterprise Management ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Current Asset ◽  
Reproduction Process ◽  
Operational Activities

Introduction. The article proves the necessity of improving the overall system of enterprise trade management by developing an efficient subsystem of working capital management in the unity and interconnection with other subsystems and elements. It has to be done in the context of the successive stages of the transformation and reproduction and financial and economic cycle of the operation of a trading enterprise. Purpose. The article aims to substantiate the content and mechanism of the subsystem of current asset management of the trade enterprise on the basis of the use of functional and reproductive and structural and classification approaches. Method. According to the State Statistics Service of Ukraine, the analysis of the dynamics and structure of the volume and structure of financial sources of capital and assets of Ukrainian trade enterprises during 2010-2017 is carried out. It is revealed that the vast majority of domestic enterprises of wholesale and retail trade suffer from a sharp shortage of own funds for the formation of working capital, which is a source of financing of constituent elements of current assets. It significantly affects the level of financial stability, independence and efficiency of financial and economic activity of trade enterprises. Results. The scientific approaches to enterprise management organization based on a systematic approach have been considered and systematized. The effect of modern mechanism of working capital management as an important element of the overall system of management of the trade company has been investigated, taking into account the high proportion of borrowed funds in the structure of sources of financial resources and the significant impact of working capital on the financial performance of trade enterprises. The essence, functions, principles, features, the mechanism of application of functional and reproductive and structural and classification approaches to the management of working capital of trading enterprises in separate successive stages of the reproduction process have been determined. It has been substantiated the expediency of using new approaches to management with the purpose of activating the processes of formation of working capital from diversified financial sources, its investment in current assets, increase of efficiency of use in operational activities and reproduction on a capitalized basis in trade enterprises.

scholarly journals Working Capital Management Practices

2019 ◽  
Vol 8 (2S8) ◽  
pp. 156-161
Keyword(s):  
Management Practices ◽  
Secondary Data ◽  
Project Work ◽  
Capital Management ◽  
Working Capital ◽  
Short Term ◽  
Good Opportunity ◽  
Working Capital Management ◽  
Money Flow ◽  
The Relationship

VJ Engineers is one of the popular organizations in Chennai. Seeing the good opportunity to study financial systems and practices of VJ Engineers, it is relatively important to take up assignment on ‘WORKING CAPITAL MANAGEMENT IN VJ ENGINEERS’. During the project work, it is being analyzed the working capital position of this organization. [1],[ 3],[5] Decisions relating to working capital and short term financing are referred to as working capital management. These involve managing the relationship between a firm's short-term assets and its short-term liabilities. The goal of Working capital management is to ensure that the firm is able to continue its operations and that it has sufficient money flow to satisfy both maturing short-term debt and upcoming operational expenses.The study of working capital management is very helpful for the organisation to know its liquidity position. The study is relevant to the organization to know the day to day expenditure. This study is relevant to give an idea to utilise the current assets.This study is also relevant to the student as they can use it as a reference. This report will help in conducting further research. Other researcher can use this project as secondary data uncovering of PDA incorporation in effects on police reports.

Finance Strategies for Medium-Sized Enterprises

2021 ◽  
pp. 1323-1345
Author(s):  
Chen Liu
Keyword(s):  
Best Practice ◽  
Balance Sheet ◽  
Investment Decisions ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Artificial Intelligent ◽  
Blockchain Technology ◽  
Supply Chain Finance ◽  
Future Work

This chapter discusses how FinTech—technology-enabled financial solutions and services—can optimize finance strategies of medium-sized enterprises. Using a balance sheet model, the chapter integrates medium-sized companies' financing strategies, working capital management, and investment decisions and discusses FinTech solutions in each area to suggest best practice. Specifically, the chapter first discusses how crowdfunding and its different types could provide alternative financing for medium-sized enterprises. Second, FinTech solutions for online payment and transfer, invoice finance, supply chain finance, and trade finance help medium-sized enterprises optimize their working capital management. Third, blockchain technology and artificial intelligent (AI)-based decisions tools could potentially help medium-sized businesses optimize their decision-making process. This chapter also suggests future work that will allow us to better understand FinTech applications in medium-sized enterprises.

scholarly journals Key factors in working capital management in the Brazilian market

2012 ◽  
Vol 52 (1) ◽  
pp. 55-69 ◽  
Author(s):  
Nathalie Vicente Nakamura Palombini ◽  
Wilson Toshiro Nakamura
Keyword(s):  
Balance Sheet ◽  
Internal Variables ◽  
Capital Management ◽  
Key Factors ◽  
Working Capital ◽  
Public Companies ◽  
Working Capital Management ◽  
Financing Decisions ◽  
Investment And Financing

Many studies have been conducted in corporate finance regarding long-term investment and financing decisions. However, short-term asset investments play a significant role in the balance sheet of companies. Moreover, financial managers dedicate significant amounts of time and effort to the subject of working capital management, balancing current assets and liabilities. This paper provides insights regarding the key factors of working capital management by exploring the internal variables of a number of companies. This study used data from 2,976 Brazilian public companies from 2001 to 2008, and found that debt level, size and growth rate can affect the working capital management of companies.

scholarly journals Working Capital Management Policies and Returns of Listed Manufacturing Firms in Ghana

2017 ◽  
Vol 64 (2) ◽  
pp. 255-269 ◽  
Author(s):  
Anokye M. Adam ◽  
Edward Quansah ◽  
Seyram Kawor
Keyword(s):  
Stock Exchange ◽  
Manufacturing Firms ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Financing Policies ◽  
Current Asset ◽  
Investment And Financing ◽  
Management Policies ◽  
Ghana Stock Exchange

Abstract This study sought to determine the effects aggressive/conservative current asset investment and financing policies have on firms′ return for six manufacturing firms listed at Ghana Stock Exchange for a period of 2000-2013. Data were obtained from the annual reports of the firms and the Ghana Stock Exchange. The study adopted longitudinal explanatory non-experimental research design applied to dynamic panel ARDL framework in analyzing the data. The results revealed that the current asset investment and financing policies have highly significant positive effects on returns to equity holders in the long-run. The empirical evidence suggests that conservative current asset investment policies increase firms return while conservative financing policies yields negative returns. The study therefore would enable finance managers to be able to fashion out the appropriate working capital management policies. A firm pursuing conservative current asset investment policy should balance it with aggressive current asset financing policy in order to enhance profitability and create value for their investors.

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