Professor & Principal, Annamacharya P. G. College of Management Studies, Rajampet, Kadapa, Andhra Pradesh, India
Online published on 4 September, 2013.
The Working capital refers to that portion of total fund, with finances the day-to-day working expenses during the operating cycle. Management of working is one of the most important functions of corporate management. Profitability is measured in relative terms of either size, past years. The current study focuses on the components of Working capital and profitability and also shows the impact of Working capital on profitability. There is a direct inverse relationship between profitability and solvency or liquidity.
working capital, profitability, Current assets, liabilities