Working Capital Management In APGENCO Ltd.

Working Capital Management of the Sample Unit was examined to know the liquidity position of the selected company by focusing on the influencing factors such as Current Assets, Current Liabilities, Net Working Capital, Working Capital Turnover, liquidity Ratiös, financing of Working Capital, correlation between liquidity and profitability, operating cycle (gross/net operating cycles) and changes in Working Capital of the company. Finally it is concluded that APGENCO has invested only 20.81 per cent of funds in Current Assets from its total investment, a low investment in Current Assets leads the low liquidity position of the organization. Out of total current assets the receivables occupy a major portion i.e. 80.03 per cent so, the APGENCO is selling a higher portion of power is on credit basis. The Working Capital turnover of the organization is very low (i.e. on an avg. 21.19 per cent) which reflects the inadequacy of Working Capital and low turnover of inventories and receivables as well. The Current Assets turnover of the organization is also low. The lower turnover of the Current Assets fells the worse utilization of Current Assets. The low Current Assets and Working Capital.