All categories

2 years ago

What is working capital?

Business

2 answers:

Alexandra [31]2 years ago

5 0

answer:

the capital of a business which is used in it day-to-day trading operation, calculated as the current assets minus the current liabilities

Fed [463]2 years ago

3 0

Answer:

Working capital, also called net working capital (NWC), represents the difference between a company’s current assets and current liabilities.

NWC is a measure of a company’s liquidity and short-term financial health.

A company has negative NWC if its ratio of current assets to liabilities is less than one.

Positive NWC indicates that a company can fund its current operations and invest in future activities and growth.

High NWC isn’t always a good thing. It might indicate that the business has too much inventory or is not investing its excess cash.

Explanation:

can you me as brainliest if its right? i just need a few more to rank up! ^-^

Also have a great day and good luck in your studies!

You might be interested in

Write a persuasive essay on "Why We Should Start a Family Business?"

lesantik [10]

Honestly you should answer this one yourself it seems like a question that contains your own answer

4 0

3 years ago

The profits of West Side Grocery have dropped significantly over the last several months. After investigating, the owner realize

zubka84 [21]

Answer: D) poor planning.

Explanation:

It is in the Planning Stage that expectations are penned down. If this is not set out, people will.not know what is expected of them and as such will move with no specified DIRECTION on projects. In such a situation, business objectives can rarely be met.

Indeed, Poor Planning is one of the major causes of LOW PRODUCTIVITY and PROFITABILITY which is what West Side Groceries is currently going through.

3 0

3 years ago

Assume for Guatemala that the domestic price of coffee without international trade is higher than the world price of coffee. Thi

Marina CMI [18]

Answer:

other countries have a comparative advantage over Guatemala in the production of coffee, and Guatemala will import coffee.

Explanation:

This question is incomplete. Please check the attached image for a complete question.

A country has comparative advantage in the production of a good or service If it produces the good or service at a lower opportunity cost when compared to its trading partners.

The price of Guatemala's coffee is higher when compared to the world price of coffee without international trade. It shows that Guatemala doesn't have a comparative advantage in the production of coffee. Guatemala should stop producing coffee and import instead. This would enable Guatemala focus more resocurces on the production of good for which it has comparative advantage.

I hope my answer helps you

3 0

3 years ago

Sasha works for a large corporation, and sometimes, she finds it difficult to see how she fits into the corporate picture. Howev

FinnZ [79.3K]

Answer:

C. It can boost employee productivity.

Explanation:

Sasha's company decision to establish an employee stock ownership plan has the potential benefit of boosting employee productivity because staff members and people in general are motivated by rewards.

Employee stock ownership plan is a staff reward scheme where a company's employees are awarded shares of the company they work for, hence they become both staff and shareholders of that company.

Sometimes these plans are futuristic, they are awarded at a certain date in future if the company achieves certain goals. Hence the productivity of employees are boosted in the bid to boost the company's performance and achieve their share rewards

8 0

3 years ago

Bramble Corp. reported net sales of $248,700, cost of goods sold of $146,900, operating expenses of $58,000, net income of $39,9

juin [17]

Answer:

profit margin is 16.0 %

gross profit rate is 39.6 %

Explanation:

given data

net sales = $248,700

cost of goods sold = $146,900

operating expenses = $58,000

net income = $39,900

beginning total assets = $473,900

ending total assets of $635,400

to find out

profit margin and gross profit rate

solution

we will apply here profit margin formula that is

profit margin = $\frac{net income}{sale} * 100$ ..............1

put here value

profit margin = $\frac{39900}{248700} * 100$

profit margin = 16.04 = 16.0 %

and

gross profit rate formula is

gross profit rate = $\frac{sales - cost of good }{sale} * 100$ ..............2

put here value

gross profit rate = $\frac{245700 - 146900}{248700} * 100$

gross profit rate is 39.72 = 39.6 %

5 0

3 years ago