Apyvartinio kapitalo valdymas UAB "Ginlora" /

Bachelor‘s final work examine working capital management in a business organization. The work consists of two parts: theoretical and empirical. In the theoretical part the Lithuanian and foreign scientific analysis of the literature revealed, that authors describe a working capital as financial reserves, current asset or working funds, used in daily activity of the company. Also authors distinguish main management aims of working capital: avoid unnecessary investment; find a compromise between the company’s liquidity risk and the main problems of the company: ensure the solvency and profitability, also to ensure continuity of operations of company and sufficient money flows. While managing working capital the attention is paid to its main components: reserves, accounts receivable and accounts payable which influence cash conversion cycle. Furthermore, the exposure determinant is also discussed in theoretical part and it shows that each company needs a different size of working capital. It can be calculated by taking into account shortterm asset and current liabilities turnover or subtract amount reserves and accounts receivable from current liability value. In scientific literature distinguish a few financing policy of working capital: conservative, aggressive, moderate, ideal and in the nature of compromise which grant a different solvency risk and profitability levels for the company. While comparing a working capital methods of analysis it was noticed that it is often recommend to calculate the company’s financial condition evaluating the indicators whilst a specific analysis is similar but rarely submitted. In the empirical part UAB “Ginlora” working capital analysis showed that company effectively managing accounts receivable but not effectively managing accounts payable; whereas the company pays off to the suppliers in a long period, however the payments are made on time. Furthermore, the company not effectively managing reserves therefore analysis was made by using three models of reserve managing (economic in terms of quantity ordered, fixed time intervals between orders and ABC analysis), and it was found that ABC analysis is the most suitable for the company. Although ABC analysis did not meet the criteria of the model discussed in theoretical part because the biggest profit (85.05%) for the company providing goods consists of biggest part (52.71%) of all goods; however, using this model company could avoid mistakes which lead to a big losses.

Grantor dc:publisher

Institutional Repository of Vilnius University

Year dc:date

2016

Author dc:creator

• Puodytė, Živilė,

Contributors dc:contributor

• Janišauskienė, Virginija

• working capital ; working capital and its components management ; financing strategy ; inventory analysis

Statement dc:rights

• info:eu-repo/semantics/openAccess

Language dc:language

lit

Repository record dc:identifier

https://repository.vu.lt/VU:ELABAETD15129891&prefLang=en_US

OAI identifier oai:identifier

oai:vu.lt:elaba:15129891