Optimal Level of Working Capital

Optimal Level of Working Capital:

It is that level where company is able to pay day to day expenditures and company has sufficient cash to purchase the stocks in case when it does not receive money from debtors on time. This level is attained by thinking and employing the methods of working capital management. We all know that both low level and over level of working capital is risky for development of business. When company has not sufficient cash to repay its liability, it will make the risk of solvency and liquidity and company might go for liquidation. In situation, company has over working capital, it will be misuse of money since that money is not gaining any earning and its opportunity cost will endure by shareholders and ultimately it will reduce the value of share in share market. Therefore, as finance manager, you must try to make equilibrium or optimal or optimum level of working capital.

Latest technology based Finance Online Tutoring Assistance

Tutors, at the www.tutorsglobe.com, take pledge to provide full satisfaction and assurance in Finance help via online tutoring. Students are getting 100% satisfaction by online tutors across the globe. Here you can get homework help for Finance, project ideas and tutorials. We provide email based Finance help. You can join us to ask queries 24x7 with live, experienced and qualified online tutors specialized in Finance. Through Online Tutoring, you would be able to complete your homework or assignments at your home. Tutors at the TutorsGlobe are committed to provide the best quality online tutoring assistance for Finance Homework help and assignment help services. They use their experience, as they have solved thousands of the Finance assignments, which may help you to solve your complex issues of Finance. TutorsGlobe assure for the best quality compliance to your homework. Compromise with quality is not in our dictionary. If we feel that we are not able to provide the homework help as per the deadline or given instruction by the student, we refund the money of the student without any delay.

2015 ┬ęTutorsGlobe All rights reserved. TutorsGlobe Rated 4.8/5 based on 34139 reviews.