Business Studies · Financial Management
The working capital requirement of a business is likely to be HIGH (rather than low) under which of the following conditions?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1When the operating cycle of the production process is short
- 2When raw materials are easily and continuously available
- 3When the growth prospects of the business are high✓
- 4When the scale of the business operation is very small
Correct answer
When the growth prospects of the business are high
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