Analysis of Holding Period in Banks for Working Capital
May22

Analysis of Holding Period in Banks for Working Capital

Analysis of holding periods is an important aspect while sanctioning working capital facilities in Banks. In this article, we have discussed how holding periods are calculated and analysed for stocks, receivables and creditors. Holding levels means the period of a particular current asset or current liability after which it is converted or realized or is paid. To understand this, we will discuss it one by one: To understand what is...

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What is working Capital?
Sep24

What is working Capital?

Working Capital is a financial indicator of operational liquidity of a business organization. Working Capital is the short term assets to cover the short term liabilities of the organization. Working Capital is calculated as Current Assets – Current Liabilities, also represented as Net Working Capital. The Working Capital Ratio or Current Ratio is calculated as Current Ratio/ Current Liabilities. Current ratio anything below 1...

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What are current assets and what are current liabilities and how to identify in balance sheet.
Jun18

What are current assets and what are current liabilities and how to identify in balance sheet.

Current Assets are the assets which can be converted in cash within a short period of time (not more than one year). There are some assets, which can be disposed to generate cash immediately, which are known as liquid assets and some other which are held to generate cash within some time (within one year) but not immediately. Also Read : What is working Capital?  Technically, current assets are those assets, which satisfies the...

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