Question

Factors determine the amount and the composition of working capital

Answer 1

Answer:

The following points highlight the top thirteen factors that determine the working capital, i.e,

(1) Nature or Character of Business

(2) Size of Business/Scale of Operations (3) Production Policy

(4) Manufacturing Process/Length of Production Cycle

(5) Seasonal Variations

(6) Working Capital Cycle and others

(7) Availability of Raw Material

(8)Level of Competition

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