Current assets are part of the company's capital, which is invested in current assets.The structure of this part (on logistical grounds) include objects of labor (fuel, raw materials, etc.), finished goods in warehouses of the company, funds in the calculations, as well as products for resale and cash.Real components (objects of labor) working capital used in each production cycle.This natural form of the objects of labor lost completely.These working capital is entirely included in the cost of goods produced.
With part of the capital, which is invested in assets that ensures the continuity of the production process.
Circuit of working capital is characterized by high speed and consists of several stages.
At the stage of procurement of the money form of capital takes the form of production (becomes the subject of labor, for example).
At the production stage there is a transformation of resources in service work or products.As a result, current assets take the form of a commodity.
Next comes the realization of products.Thus, the current assets of the commodity form into the money-back pass.
active elements of capital is a part of a continuous stream of ongoing business operations.By buying increasing inventories and payables.The manufacturing process leads to an increase in finished products.Through the implementation of increased accounts receivable and the amount of funds on the account and at the box office of the enterprise.This cycle, repeated many times, leading eventually to the cash payments and receipts.
Placing an active part of the capital in the production process leads to the division of funds in the treatment and production assets.
last function for production, and the second - in the course of treatment, ie the implementation of finished products, and as a result of the acquisition of inventory assets.
For optimal ratio requires that the production assets accounted for a large proportion.The volume of the circulating medium must be optimal, but no more, for the rhythmic and precise handling process.
Revolving Fund considered manufacturing inventories (packaging materials, spare parts, raw materials, etc.), the cost of the coming period, work in progress.
By means of treatment are shipped goods, cash, finished goods, accounts receivable and so on.
In accordance with the principles of management and organization of the working capital, as well as the need to optimize inventory levels there is a division in the working capital nonnormable and regulated.
first elements are handling funds.These are managed in order to prevent an excessive increase.
normability working capital reports with their own active agents.
Management active part of the capital as a whole has a close connection with his placement.For different economic entities is characterized by different composition and structure of working capital.They depend on the specifics of the organization of the production process, ownership, features production costs.Equally important are relationships with customers and suppliers, financial condition.
Separation of working capital loans and equity indicates the sources and forms of organization of these funds for temporary or permanent use.
formation of its own assets is carried out using equity (reserve, charter and other things).Borrowings are formed in the form of bank loans, debt.
also can raise funds from other sources.
