Effectiveness of working capital investments is only one from possible explanations of working capital levels in firms. Too small working capital leads some firms to negative changes in their sale levels. Destruction of cash revenues creation possibilities is dangerous for them and is hard to...

Data on annual working capital and profitability for 5 years, 2010-2015, in 7000 U.S. companies were grouped into three industrial sectors, retailing, production, and services. Mean current and inventory ratios and profitability were calculated for each industrial sector, and the correlation and...

Working capital management is important part in firm's financial management decision. An optimal working capital management is expected to contribute positively to the creation of firm value. To reach optimal working capital management, the firm manager should control the trade-off between...