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FIN 370 Week 3 DQ 1
$ 15.00

How do you define working capital? What may happen if an organization neglected to manage its working capital? What techniques do you recommend for your organization? Why?

 

How do you define working capital? Working capital measures how much in liquid assets a company has available to build its business. The number can be positive or negative, depending on how much debt the company is carrying.

What may happen if an organization neglected to manage its working capital? If an organization neglected to manage its working capital the company would go broke quickly. They would not be able to pay suppliers, or employees employees, and eventually be forced to close.
 

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