Accountancy, asked by YoungPro2303, 1 year ago

How net working capital, liquidity, technical insolvency, and risk are related?

Answers

Answered by ITZAARAV
0

\huge\mathbb\blue{BONJOUR,}

\huge\mathfrak{Answer:}

So when you fail to have liabilities equal or more than assets, your business undergoes insolvency risk. Especially the net working capital being negative gives rise to insolvency. Moreover having minimal assets, the risk of liquidity arise.

<font color ="purple"><marquee behavior ="alternate"> ~♥~~♥~Hope It Helps~♥~~♥~</font color ="purple "></marquee behavior="alternate">

\huge\mathfrak{Regards}

\huge\mathbb\red{ITZAARAV}

Similar questions