2. Positive working capital indicates that company has the ability of payments of short terms liabilities.
3. Working capital increased because of increment in the current assets. Company’s current assets were always more than requirement which affected the profitability of the company.
4. In the year 2009-10 to 2011-12 working capital has continuous increased because of decrease in manufacturing expenses and increase in price of raw material.
5. The size of the cash in the current assets of the company indicates the cash mis management of …show more content…
Working capital management is a critical part of any business. Maruti Suzuki ought to have satisfactory working cash-flow to maintain its business operation. Each worry ought to have neither repetitive of overabundance working capital nor lacking or deficiency of working capital. Both overabundance and also short working capital positions are awful for the organization.
Working Capital gives the highly required liquidity to the business. Working Capital Finance decreases the general asset necessity, required to develop the Current Assets, which thus offer you some assistance with improving your Turnover Ratio. The organization has a decent liquidity position and does not defer its dedication if there should arise an occurrence of both its loan bosses and indebted individuals. The organization being generally subject to the working capital offices, it is keeping up great association with their banks and their working capital management is very much adjusted.
1. The working capital position of the organization is sound and the different sources through which it is supported are …show more content…
The firm has not bargained on productivity in spite of the high liquidity is exemplary.
5. Maruti Suzuki India Ltd. has come to a position where the default expenses are as low as unimportant and where they can promptly calculate their records receivables for benefiting fund is important.
6. The three components of working capital management are money management receivable management and stock management. On the off chance that a fund supervisor keeps up these three components of working capital management legitimately implies the firm will get emotional change in their business volume furthermore in business. Working capital arrangements of a firm greatly affect its gainfulness, liquidity and organized wellbeing of the association.
7.Every concern ought to embrace some new trends in management systems that will help in more prominent profitability, stock improvement furthermore better working capital management. In this way, it is noticed that working capital management is a way to run business easily and profitably. In this way, the idea of working capital has its own importance in a going