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What is Determinants of Working Capital Explained about?
The document outlines 10 key determinants of the amount of working capital needed by companies: 1) Nature of business, with trading/manufacturing requiring more than utilities/railways. 2) Length of manufacturing period, with shorter periods requiring less capital. 3) Volume of business, with larger companies needing more capital. 4) Cost of raw materials as a proportion of total costs, with higher raw material costs requiring more capital.
- Author
- sharmila
- Language
- EN