Page 184 - DCOM505_WORKING_CAPITAL_MANAGEMENT

Unit 11: Factoring

11.6 Review Questions Notes

1. What is factoring?
2. Write down the advantages and disadvantages of factoring.

3. What are the salient features of the factoring arrangement?
4. Briefly explain the role of factoring in receivables management.

Answers: Self Assessment

1. Factoring 2. receivables
3. 70 % to 80 % 4. cash balances
5. variability 6. true

7. true 8. false

11.7 Further Readings

Books D.R. Mehta, Working Capital Management, Prentice-Hall Inc., 1974.
K.V. Smith, Management of Working Capital, McGraw-Hill, New York.
Khan and Jain, Financial Management, Tata McGraw-Hill.
Pandey, Financial Management, Vikas Annex.54.J.3 -MBA - Finance - SDE Page
20 of 23.
Prasanna Chandra, Financial Management, Theory and Practice, Tata McGraw-Hill.
V.K. Bhalla, Working Capital Management – Text and Cases, Sixth Edition, Anmol
Publications.

Online links finance.mapsofworld.com

http://www.google.co.in/url?sa=t&rct=j&q=working+capital+management
-factoring&source=web&cd=40&ved=0CF0QFjAJOB4&url=http%3A%2F%2F
www.makati.us%2Ffactoringsbf_benefits&ei=0-D3T8iROYn5rQfM773
MBg&usg=AFQjCNG6rIHlxbe3ZNnlexca46
http://www.makati.us/factoringsbf_benefits

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