The goal of working capital management is to
A) achieve a balance between risk and return in order to maximize the firm's value.
B) balance current assets against current liabilities.
C) achieve a balance between short-term and long-term assets so that they add to the achievement of the firm's overall goals.
D) pay off short-term debts.

Question

Quizplus · Accepted Answer

The primary goal of working capital management is to ensure that a firm can continue its operations with sufficient liquidity while maximizing its value, which involves balancing risk and return.

The Goal of Working Capital Management Is to