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प्रश्न
A business firm should have extra funds to meet future emergencies. Identify the type of working capital indicated here.
पर्याय
Special
Seasonal
Initial
Regular
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उत्तर
Special
Explanation:
A firm may need additional working capital to meet future contingencies that may arise in business is called as special working capital. Special working capital is required in the unforeseen. contigencies such as:
- To manage sudden increase of demand in the market;
- Depression leading to piling up of inventory;
- During strikes, lockouts, and national calamities like earthquakes, floods, fire, etc.
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संबंधित प्रश्न
Explain the following as factor affecting the requirements of fixed capital:
Choice of technique
Explain the following as factors affecting the requirements of working capital:
Production cycle
What is working capital? Discuss five important determinants of working capital requirement?
Fixed Capital Working Capital
Higher working capital usually results in :
Current assets are those assets which get converted into cash
Higher dividend per share is associated with
______ refers to the decisions regarding where to invest so as to earn the highest possible returns on investment.
Fixed capital is financed through:
Dhaval Acharya, after acquiring a bachelor’s degree in Hotel Management joined his father’s chain of vegetarian restaurants in Ahmednagar. Being young and enterprising, he suggested his father to add a new section of vegetarian bakery items which required an investment of ₹ 5 crores. His father Mr. Aariketh Acharya suggested him to take the decision with caution and understood everything comprehensively as bad decision may damage the financial fortune of business.
Identify the decision suggested by Mr. Aariketh Acharya. State by giving any three reasons as to why he must have advised his son to take decision with caution.
