The capital that is needed to meet the day-to-day running of a business is the?

Assessment: WAEC SSCE - Commerce - 1993 (Objective) Subject: Commerce

Question 1 Report

The capital that is needed to meet the day-to-day running of a business is the?
Answer Details
The capital that is needed to meet the day-to-day running of a business is called circulating capital. It is also known as working capital, and it includes cash, inventory, accounts receivable, and other short-term assets that are used to pay for the day-to-day expenses of a business, such as salaries, rent, utilities, and raw materials. Circulating capital is important for the smooth operation of a business and is considered a short-term investment as it is continually being used and replenished in the course of business operations.

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