Financial management Notes in Hindi CS Executive - CSHindinotes

CS EXECUTIVE FINANCIAL MANAGEMENT
9) E.O.Q. =
A = Annual Requirement
O = Order Placing Cost
C = Carrying Cost/Unit Per annum
10) Total Annual Cost = Purchase + Ordering Cost + Carrying Cost
Purchase = Annual Requirement Purchase Price.
Ordering Cost = Ordering Cost
Carrying Cost = [Safety Stock + (Reorder Quantity) Carry
Cost/Unit Per Annum)
Source of Capital: ‐
Equity = xx
Debt = xx
= xx
Chapter ‐ 7
Management of Working Capital
Application of Capital: ‐
Fixed Assets = xx
Investment = xx
Current Assets = xx
(‐) Current Liability = xx
Net Working Capital = xx
Estimation of Requirement of Working Capital: ‐
1) Operating Cycle Method
2) Forecasting Method
1) Operating Cycle Method: ‐
COMPILED BY MS. SHWETA AGARWAL CA, CS Page 10