Cash management or the management of an entity’s liquidity, requires an understanding of the assets and liabilities that directly affect the flow of cash resources. Cash forms part of the working capital of an entity, and all the elements of the working capital have a direct influence on the cash flows.
During this course, we will discuss the major elements of working capital and their impact on the cash resources of the entity. We will also analyze the efficiency of an entity at managing their working capital and sources/uses of cash resources. Finally, we will look at ways of forecasting the cash flows of an entity.