Pearson Etext For Foundations Of Finance -- Combo Access Card (10th Edition)
Pearson Etext For Foundations Of Finance -- Combo Access Card (10th Edition)
10th Edition
ISBN: 9780135639344
Author: Arthur J. Keown, John D Martin, J. William Petty
Publisher: PEARSON
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Chapter 15, Problem 6RQ
Summary Introduction

To discuss: Hedging principle and the way this principle is used in the management of working capital.

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What is meant by the terms working capital? What are the components of working capital? How does management decide the correct amount of working capital? In your opinion, what is the most important element of working capital? Why?
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What exactly does the phrase "working capital" mean? The components of working capital are listed below. What criteria does management use to determine the appropriate amount of working capital? Consider the following: what is the most significant component of working capital in your opinion? Why?
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