Working capital management:
A) Includes the daily oversight of a ﬁrm's cash requirements.
B) Involves the determination of how much long-term debt should be issued.
C) Is the oversight of a ﬁrm's long-term assets.
D) Deals with the reﬁnancing of the ﬁrm's debt if interest rates decline.
E) Deals with the allocation of equipment to various jobs on a daily basis.

Question

Quizplus · Accepted Answer

Working capital management involves the daily oversight of a firm's cash requirements and ensuring that it has enough cash to cover its short-term obligations while also investing any excess cash in assets that generate a return. The other options are not relevant to working capital management.

Working Capital Management