Working Capital Structure in an Indian Cement Engineering Enterprise
Optimum management of Working Capital is very much essential in any enterprise. This is very much essential to balance the trade-off between liquidity and profitability. This research work focuses on working capital structure in an Indian cement enterprise namely The Ramco Cements Limited. Popular Ramco group in India owns this Enterprise. It is a Chennai based Enterprise and its prime product is Port Land Cement. It’s annual production is nearly 17 million tons. Ratios including CR (Current Ratio), QR (Quick Ratio) and SQR (Super Quick Ratio), GWCTR (Gross Working Capital Turnover Ratio), NWCTR (Net Working Capital Turnover Ratio), CTR (Cash Turnover Ratio), DTR (Debtor Turnover Ratio), ITR (Inventory Turnover Ratio) and ACP (Average Collection Period) were computed and results are interpreted. Chi-square test is used for confirming results.