Five forces model of Michael Porter is a powerful and widely used tool for systematically diagnosing the significant competitive pressures in the market and assessing their strength and importance. The model holds that the state of competition in an industry is a composite of competitive pressures operating in five areas of the overall market. Michael Porter has identified five competitive [...]
Everything you need to know about methods of preparing a cash budget. Cash budget is one of the most important budgets prepared by an enterprise as every transaction ultimately resolves itself into cash. It contains estimates of cash inflows and outflows for a period of time in future. Cash budget portrays the projecting of cash receipts and disbursements from all [...]
Everything you need to know about the sources of working capital. Working Capital is defined as the "excess of current assets over current liabilities and provisions." According to Shubin “working capital is the amount of funds necessary for the cost of operating the enterprise. Working capital in a going concern is a revolving fund. It consists of cash receipts from [...]