available and used for day to day operations (i.e.; working) of an enterprise. Working capital typically means the firm’s holding of current or short-term assets such as cash, receivables, inventory and marketable securities. These items are also referred to as circulating capital Concept of Working Capital The concept of Working Capital includes Current Assets and Current Liabilities. There are two concepts of Working Capital which are Gross Working Capital Net Working Capital Gross Working Capital
Gross Working Capital refers to the firm'sinvestment
in Current Assets. Current Assets are the assets, which canbe converted into cash within an accounting year or operating cycle. Itincludes cash, short-term securities, debtors (account receivables orbook debts), bills receivables and stock (inventory). Net Working Capital
Net Working Capital refers to the difference between
Current Assets and Current Liabilities are those claims of outsiders, which are expected to mature for payment within an accounting year. It includes creditors or accounts payables, bills payables and outstanding expenses. Net Working Capital can be positive or negative RESEARCH QUESTION In looking at the effect of working capital on business profitability, some of the questions easily come to mind are.. what are root causes of working capital on business? what are the major effects on accounts receivable ? what steps should be taken to ensure that it effect on the profit of the firm will not be negative? how can working capital be managed/ what make up the working capital cycle? how can debtors be controlled OBJECTIVE OF THE STUDY The main objective of the study is to determine the effect of working capital on business profitability which has to do with…................................... Maintenance of working capital at appropriate level, Availability of ample funds as and when they are needed Variables Working capital effect the company goodwill Working capital effect the environment of security, confidence, and overall efficiency in a business. This effect will be positive or negative and will be proved when the research complete. METHODOLOGY • DATA Company name The data use for study coverd a period of 2004 to 2012 SWOT ANALYSIS STRENGTH 1 = ATCOP is a govt. sector organization which has no serious problem like funds. 2= ATCOP is using procedure of marketing process to requirements of its different goals 3 = Segment your market ( ATCOP easily understand the problem that your market faces. WEAKNESS 1= ATCOP has to log positioning procedure which make positioning more difficult 2= Use of new idea and technique for devloping a marketing process is difficult for manager 3 = Poor document the size of market, and no identify its major competitors THANKS