Abstract:
Working capital is the flow of ready funds necessary for the working of a concern. The
working capital management plays an important role for success or failure of firm in
business because of its effect on firm’s profitability as well on liquidity. The study is an
attempt to analyze the efficiency of working capital management of listed trading
companies during 2004 to 2010. Instead of using common working capital ratios,
performance index, utilization index and overall efficiency index are calculated to
measure efficiency of working capital management.. The study indicates that overall
performance of Trading companies were good.
