Search results for "Working capital"
showing 6 items of 6 documents
CURRENT ASSETS STRUCTURE AND EXPLORATION OF BUSINESS IN LATVIA
2012
In order to ensure the financial sustainability of companies under current economic conditions successful management of current assets is crucial. In practice it is quite often observed that the decisions of current assets management in companies are made in the short-term aspects not making analysis. The aim of the article is to explore and analyse the structure of current assets and their indicators in business in Latvia. In order to reach the aim the author solves the following tasks in the research: to explore and analyse the structure of current assets, its changes and trends in the companies of Latvia; to perform calculations and analysis of the indicators characterizing the effective…
WORKING CAPITAL AS AN ENTERPRISE VALUE ASSESSMENT TOOL
2019
The valuation of an entity in off-exchange transactions involves the use of different techniques. Nevertheless, none of them guarantees the most accurate result. Therefore, it is very difficult to choose one evaluation method. Both investors, corporate managers, financial professionals, portfolio managers, and securities analysts should have a basic understanding of the process of evaluating companies. To that end, professionals recommend evaluating a company’s financial reports to detect its financial position and solvency. According to the methods of financial analysis, working capital is one of the solvency ratios, which describes the value of resources that remain after the company’s cu…
Logistyka a zarządzanie cyklem kapitału pracującego – rozwiązania stosowane w skali przedsiębiorstwa (Logistics vs. working capital cycle management …
2016
Logistyka, jako koncepcja zarządzania strukturą przepływów towarów i związanych z nimi informacji w przedsiębiorstwie i w łańcuchu dostaw, może w istotny sposób wspomóc optymalizację struktury i poziomu kapitału pracującego. Jego obrazem jest wskaźnik cyklu konwersji gotówki V.D. Richardsa i E.J. Laughlina, a spośród jego składowych logistyka bezpośrednio wpływa na długość cyklu zapasów (F2F), obok cyklu należności (02C) oraz zobowiązań (P2P). Głównymi instrumentami stosowanymi w przedsiębiorstwie w celu skrócenia cyklu F2F są Lean Manufacturing i Just in Time, zorientowane na ujawnianie i redukcję marnotrawstwa w przedsiębiorstwie, czego skutkiem jest zmniejszenie poziomu zapasów. W efekci…
Supply chain finance: The role of credit rating and retailer effort on optimal contracts
2021
Abstract Supply chain finance aims at finding the best financing arrangements within a given buyer-supplier dyad. The source of capital can be internal (buyer or supplier) or external (financial institution) to the supply chain. So far, many studies have investigated the optimal mix of the sources of capital; our study aims at contributing to the recent literature that explores the interface of operations and finance extending the supplier-based financing models. As the Covid-19 pandemic hits economic activity, the financial constraints have ever greater importance; knock-on effects of the Covid-19 crisis urges on the critical role of a supply chain that should provide financial resources, …
The Impact of Lbos on Investment Policies and Operations of Acquired French Firms
2002
This paper evaluates the extent that French LBO targets’ investment policy and operations can account for their overperformance discrepancy. Our empirical study has been carried out on 132 French LBOs between 1989 and 1994. The results show that the abnormal plunge in economic return cannot be explained by overinvestments or by inefficient working capital management. Nevertheless, abnormal increases in wages, supplies and/or sales price reductions appear to be prominent.
Study on the Correlation Between Working Capital and Economic Value Added for the Companies Relating to the Hotel and Restaurant Industry Listed on t…
2020
In the present study was determined the influence of the value change of the working capital on the variation of the economic value added indicator on a sample consisting of a number of 26 companies (2007-2017) belonging to the hotel and restaurant industry, listed on the Bucharest Stock Exchange. The correlation between the indicators was achieved by using the multiple linear regression method. The study showed that there is a strong link between the two economic indicators, over 80% of the change in economic value being explained by the change in working capital. It was found that a 1% increase in working capital, for the period 2007-2017, had the effect of increasing the economic value a…