Published 2024-06-24
Keywords
- Liquidity, Financial stability, Operational efficiency, Capital utilization.
Abstract
Effective management of working capital is crucial for sustaining operational efficiency and financial stability in organizations. This study focuses on understanding and analyzing the working capital management practices within ACC Pvt Ltd, a prominent player in the Indian cement industry. Working capital, defined as the difference between current assets and current liabilities, signifies an organization's ability to meet short-term financial obligations and maintain liquidity.The project investigates the current trends and challenges in working capital management, emphasizing the importance of optimizing the balance between current assets and liabilities. Using a descriptive research design, secondary data from ACC's audited financial statements and industry sources were analysed. Key financial ratios such as current ratio and quick ratio were employed to assess ACC's liquidity position and working capital efficiency.