ABSTRACT
The Nigeria Economy is faced with several
challenges which could impede the speed of having a huge return on the
resources employed by the firm. As a result, however, proper initiative and
capital management is required. It is worthy to note that out of every resource
that a firm has, working capital is the most important.Working Capital
refers to the capital available for running day-to-day operations of an
organization. Working Capital is a financial metric which represents the
operating liquidity available to a business. Along with fixed assets such as
plants and equipment, working capital is considered as a part of a company's
operating capital, referring to current assets such as cash at hand, cash at
bank, raw materials, work-in-progress, finished goods, accounts receivable, and
etc. To measure the efficiency of a company's working capital, people often use
net working capital which is defined as the difference between current assets
and current liabilities. If current assets are higher than current liabilities,
this company has working capital efficiency, explaining the company's ability
to continue its operations and to have sufficient funds to satisfy both
maturing short-term debt and upcoming operational expenses Working capital
management involves planning and controlling current assets and current
liabilities in a manner that eliminates the risk of inability to meet due
short-term obligations on one hand and avoid excessive investment in these
assets on the other hand (Eljelly,2004).
KALU, O (2021). Effects Of Working Capital Management On Business Operations (A Study Of Pz Cussons Plc). Mouau.afribary.org: Retrieved Nov 01, 2024, from https://repository.mouau.edu.ng/work/view/effects-of-working-capital-management-on-business-operations-a-study-of-pz-cussons-plc-7-2
OGECHI, KALU. "Effects Of Working Capital Management On Business Operations (A Study Of Pz Cussons Plc)" Mouau.afribary.org. Mouau.afribary.org, 17 Aug. 2021, https://repository.mouau.edu.ng/work/view/effects-of-working-capital-management-on-business-operations-a-study-of-pz-cussons-plc-7-2. Accessed 01 Nov. 2024.
OGECHI, KALU. "Effects Of Working Capital Management On Business Operations (A Study Of Pz Cussons Plc)". Mouau.afribary.org, Mouau.afribary.org, 17 Aug. 2021. Web. 01 Nov. 2024. < https://repository.mouau.edu.ng/work/view/effects-of-working-capital-management-on-business-operations-a-study-of-pz-cussons-plc-7-2 >.
OGECHI, KALU. "Effects Of Working Capital Management On Business Operations (A Study Of Pz Cussons Plc)" Mouau.afribary.org (2021). Accessed 01 Nov. 2024. https://repository.mouau.edu.ng/work/view/effects-of-working-capital-management-on-business-operations-a-study-of-pz-cussons-plc-7-2