Asked by Tiffani Duncan on Jul 21, 2024
Verified
The term ____ refers to the assets and liabilities required to operate a business on a day-to-day basis.
A) capital management
B) working capital
C) operating capital
D) operating management
Working Capital
The difference between a company's current assets and current liabilities, indicating the short-term financial health and operational efficiency of a business.
Day-To-Day Basis
Refers to activities or operations that are performed on a daily basis, signifying regular, everyday tasks or duties.
- Acquire knowledge on the concept and constituents of working capital.
Verified Answer
MB
Madawa BernardJul 26, 2024
Final Answer :
B
Explanation :
Working capital refers to the assets and liabilities required to operate a business on a day-to-day basis, such as cash, inventory, accounts receivable and payable, and short-term debt. Capital management, operating capital, and operating management may be related to business operations, but do not specifically refer to the assets and liabilities associated with day-to-day operations.
Learning Objectives
- Acquire knowledge on the concept and constituents of working capital.