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What are the Chore committee recommendations with respect to working capital?
Wiki User
∙ 10y ago
Chore Committee Report 1979
This committee especially constituted only for the purpose to study the sanctionable
limits of the banker and the extent of the loan amount utilization of the borrower. The
another purpose of the committee to appoint that to provide the alternate ways and
means to afford credit facility to the industries to enhance the productive activities in the
country.
1. Continuance of the existing three system of credits by the banker viz cash credit,
loans and bills
2. No need to bifurcate the cash credit accounts of the borrower for the implementation
of the differential rate of interest
3. According to the specifications of the borrower, the banker should come to one
conclusion which in normal peak level and non peak level of operations only to the
tune of operations
4. No frequent sanction of ad hoc limits of borrowing from the banker
5. The overdependence on the bank credit should be lessened among the practices of
the industrialists through emphasizing the need of term finance.
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∙ 10y ago
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What is the optimum working capital?
Optimum working capital is that point where working capital is neither short from requirements nor excess working capital available at any time during fiscal year.
What is a working capital statement?
WORKING CAPITAL STATEMENT (WCS) is part of the financial statements' "Statements of Cash Flows or Changes in Financial Position." The WCS normally includes sections covering: Sources of Working Capital, Uses of Working Capital, and Working Capital Changes.
How do you calculate net working capital?
How do you calculate net working capital?
How do you determine the working capital of a business?
Working Capital is calculated as follows Working Capital = Current Assets - Current Liabilities Current Assets = 100000 Current Liabilities = 50000 Working Capital = 50000 (Answer)
Example of working capital?
Working capital is a measure of a company's efficiency and its financial health. A measure of a companies efficiency is an example of working capital.
What is the role of working capital in respect of small scale industries?
In small businesses, working capital helps managers meet their monthly obligations. With working capital, managers can pay payroll expenses and utilities.
What is working capital gap?
In order to reduce the dependence of businesses on banks for working capital, ceiling on bank credit to individual firms has been prescribed. Accordingly, businesses have to compute the current assets requirement on the basis of stipulations as to size. So, flabby inventory, speculative inventory cannot be carried on with bank finance. Normal current liabilities, other than bank finance, are also worked out considering industry and geographical features and factors. Working capital gap is the excess of current assets as per stipulations over normal current liabilities (other than bank assistance). Bank assistance for working capital shall be based on the working capital gap, instead of the current assets need of a business. This type of financing assistance by banks was introduced on the basis of recommendations of Tandon Committee
What has the author Andrew J Cornford written?
Andrew J. Cornford has written: 'The Basle Committee's proposals for revised capital standards' -- subject(s): Bank capital, Basle Accord, Law and legislation 'Commentary on the Financial Stability Forum's Report of the Working Group on Capital Flows' -- subject(s): Capital movements, Financial crises, Prevention, Risk management 'The Basel Committee's proposals for revised capital standards' -- subject(s): Bank capital, Banking law, Banks and banking, Basle Accord, Basle Committee on Banking Supervision, Financial institutions, Law and legislation, State supervision
What are the determinate of working capital?
conclusion of determinant of working capital
What is a a working capital?
WORKING CAPITAL STATEMENT (WCS) is part of the financial statements' "Statements of Cash Flows or Changes in Financial Position." The WCS normally includes sections covering: Sources of Working Capital, Uses of Working Capital, and Working Capital Changes.
What is optimal working capital?
Optimal working capital is that point where exact amount of working capital is available to run day to day activities and there is no excess or shortage of working capital at any point.
What is the optimum working capital?
Optimum working capital is that point where working capital is neither short from requirements nor excess working capital available at any time during fiscal year.
How to asses Req of working capital in IT Company?
"How to asses Req of working capital in IT Company?" "How to asses Req of working capital in IT Company?"
What is a working capital statement?
WORKING CAPITAL STATEMENT (WCS) is part of the financial statements' "Statements of Cash Flows or Changes in Financial Position." The WCS normally includes sections covering: Sources of Working Capital, Uses of Working Capital, and Working Capital Changes.
How do you calculate net working capital?
How do you calculate net working capital?
How do you determine the working capital of a business?
Working Capital is calculated as follows Working Capital = Current Assets - Current Liabilities Current Assets = 100000 Current Liabilities = 50000 Working Capital = 50000 (Answer)
Example of working capital?
Working capital is a measure of a company's efficiency and its financial health. A measure of a companies efficiency is an example of working capital.
