Which of the following are important goals of working capital management? a) Enhance company brand…
Smooth routine operations and sufficient assets to meet obligations are working-capital goals. Managing short-term assets and liabilities supports liquidity and continuity…
Choose your answer
Which of the following are important goals of working capital management?
a) Enhance company brand value
b) Smooth working of routine operations
c) Maintain enough assets to avoid insolvency
d) Hire more employees
Answer and explanation
Correct answer C
Smooth routine operations and sufficient assets to meet obligations are working-capital goals. Managing short-term assets and liabilities supports liquidity and continuity of operations; increasing headcount or brand value is not its central purpose.
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Karnataka SET (KSET)