Working Capital

1. CHAPTER I
WORKING CAPITAL
Disusun Oleh:
Abdul Rahman Fikri (122111004)
Flint Faraday (122120053)
Noer Alfisyah Kemala Dewi (122141112)
Andronicus (122150017)
Anggi Wiyan (122150020)
Digy Piazola Padari (122150045)
Endrico (122150053)
Ilham Kurniawan (122150079)
Kacung Abdullah (122150086)
Mega Seran (122150095)
M. Arief Wibowo (122150098)
Pianka Padari (122150114)
Rizky Yudhistira (122150136)

2. Current Assets:
Cash
Marketable Securities
Prepayments
Accounts Receivable
Inventory
Current Liabilities:
Accounts Payable
Accruals
Short-Term Debt
Taxes Payable
Fixed Assets:
Investments
Plant & Machinery
Land and Buildings
Long-Term Financing:
Debt
Equity
Long & Short Term Assets & Liabilities

3. Net Working Capital
- Working Capita; termasuk ke dalam asset lancer perusahaan, dimana terdiri dri
kas dan marketable securities selain AR dan Inventory
- Ini juga termasuk hutang lancer , diantaranya AP, Notes Payabe dan Accrued
liabilities
- Net Working Capital = Total Current Asset – Total Current Liabilities

4. Current
Assets
Net Working
Capital > 0
Fixed
Assets
Current
Liabilities
Long-Term
Debt
Equity
low
return
high
return
low
cost
high
cost
highest
cost
The Tradeoff Between
Profitability & Risk
■ Positive Net Working Capital (low return and low risk)

5. Current
Assets
Net Working
Capital > 0
Fixed
Assets
Current
Liabilities
Long-Term
Debt
Equity
low
return
high
return
low
cost
high
cost
highest
cost
The Tradeoff Between
Profitability & Risk
■ Positive Net Working Capital (low return and low risk)

6. The Tradeoff Between
Profitability & Risk
Effects of Changing Ratios
on Profits and Risk

7. ■ Short Term Financial Management – pengaturan asset lancar & hutang lancer-
merupakan hal terpenting bagi manager keungan dan memakan banyak waktu.
■ Bertujuan untuk memanage setiap asset lanacar dan hutang lancer tiap
perusahaan untuk mendapat keseimbangan antara Profotability dan Risk yang
berkontribusi posoitif untuk seluruh nilai perusahaan.
■ Hal terpenting Short Term Financial adalah memahami Cash Conversion Cycle dari
perusahaan
The Cash Conversion Cycle

8. ■ The Operating Cycle (OC) adalah waktu antara pemesanan material dan
pengcollectan kas dari AR
■ The Cash Conversion Cycle (CCC) adalah waktu antaran pembayaran supplier
untuk inventory dan pengcollectan kas dari penjualan produk akhir
Calculating the Cash Conversion Cycle

9. Calculating the Cash
Conversion Cycle
■ Both the OC and CCC may be computed as shown below.

10. MAX Company, a producer of paper dinnerware, has
annual sales of $10 million, cost of goods sold of 75% of
sales, and purchases that are 65% of cost of goods sold.
MAX has an average age of inventory (AAI) of 60 days,
an average collection period (ACP) of 40 days, and an
average payment period (APP) of 35 days.
Using the values for these variables, the cash conversion
cycle for MAX is 65 days (60 + 40 - 35) and is shown on
a time line in Figure 14.1.
Calculating the Cash
Conversion Cycle

11. Calculating the Cash
Conversion Cycle
Time Line for MAX Company’s Cash Conversion Cycle

12. The resources MAX has invested in the cash
conversion cycle assuming a 365-day year are:
Obviously, reducing AAI or ACP or lengthening APP will
reduce the cash conversion cycle, thus reducing the amount
of resources the firm must commit to support operations.
Calculating the Cash
Conversion Cycle (cont.)

13. Funding Requirements of the CCC
■ Permanent vs. Seasonal Funding Needs
1. jika penjualan perusahaan tetap, maka investasi di operating asset juga konstan,
dan perusahaan hanya memiliki permanent funding
2. Jika penjualan siklis, kemudian investasi dalam mengoperasikan aset akan
bervariasi dari waktu ke waktu, menuju perlunya musiman persyaratan
pendanaan disamping persyaratan pendanaan permanen untuk investasi minimal
dalam mengoperasikan aset.

14. Nicholson Company holds, on average, $50,000 in cash and
marketable securities, $1,250,000 in inventory, and $750,000
in accounts receivable. Nicholson’s business is very stable
over time, so its operating assets can be viewed as
permanent. In addition, Nicholson’s accounts payable of
$425,000 are stable over time. Nicholson has a permanent
investment in operating assets of $1,625,000 ($50,000 +
$1,250,000 + $750,000 - $425,000). This amount would also
equal the company’s permanent funding requirement.
Funding Requirements
of the CCC
■ Permanent vs. Seasonal Funding Needs

15. Funding Requirements
of the CCC
■ Permanent vs. Seasonal Funding Needs
In contrast, Semper Pump Company, which produces bicycle pumps, has
seasonal funding needs. Semper has seasonal sales, with its peak sales
driven by purchases of bicycle pumps. Semper holds, at minimum,
$25,000 in cash and marketable securities, $100,000 in inventory, and
$60,000 in accounts receivable. At peak times, Semper’s inventory
increases to $750,000 and its accounts receivable increase to $400,000.
To capture production efficiencies, Semper produces pumps at a
constant rate throughout the year. Thus, accounts payable remain at

16. Funding Requirements
of the CCC
■ Permanent vs. Seasonal Funding Needs
$50,000 throughout the year. Accordingly, Semper has a permanent
funding requirement for its minimum level of operating assets of
$135,000 ($25,000 + $100,000 + $60,000 - $50,000) and peak
seasonal funding requirements of $900,000 [($125,000 + $750,000 +
$400,000 - $50,000) - $135,000]. Semper’s total funding
requirements for operating assets vary from a minimum of $135,000
(permanent) to a a seasonal peak of $1,125,000 ($135,000 +
$900,000) as shown in Figure 14.2.

17. Funding Requirements
of the CCC
■ Permanent vs. Seasonal Funding Needs
Semper Pump
Company’s
Total Funding
Requirements

18. Semper Pump has a permanent funding requirement of $135,000 and
seasonal requirements that vary between $0 and $990,000 and
average $101,250. If Semper can borrow short-term funds at 6.25%
and long term funds at 8%, and can earn 5% on any invested surplus,
then the annual cost of the aggressive strategy would be:
Funding Requirements
of the CCC
■ Aggressive vs. Conservative Funding Strategies

19. Funding Requirements
of the CCC
■ Aggressive vs. Conservative Funding Strategies
Alternatively, Semper can choose a conservative strategy under which
surplus cash balances are fully invested. In Figure 13.2, this surplus would
be the difference between the peak need of $1,125,000 and the total need,
which varies between $135,000 and $1,125,000 during the year.

20. Funding Requirements
of the CCC
■ Aggressive vs. Conservative Funding Strategies
Jelas, agresif strategi tingginya membuat pembiayaan jangka pendek berisiko
daripada strategi konservatif karena ayunan bunga dan mungkin kesulitan dalam
mendapatkan dibutuhkan dana cepat ketika terjadi puncak musiman.
Strategi konservatif menghindari risiko ini melalui terkunci-dalam bunga dan
pembiayaan jangka panjang, tapi lebih mahal. Dengan demikian keputusan akhir
yang tersisa untuk manajemen.

21. Strategies for Managing the CCC
■ Menyerahkan inventaris secepat mungkin tanpa Out saham yang menghasilkan
penjualan hilang.
■ Mengumpulkan piutang secepat mungkin tanpa kehilangan penjualan dari teknik
bertekanan tinggi.
■ Mengelola, mail, pengolahan, dan kliring waktu untuk mengurangi mereka ketika
mengumpulkan dari pelanggan dan untuk meningkatkan mereka ketika
membayar pemasok.
■ Membayar piutang sebagai perlahan-lahan mungkin tanpa merusak perusahaan
pemeringkat

22. Manajemen Piutang
■ Komponen kedua dari siklus konversi kas adalah periode penagihan
rata-rata → rata-rata lama waktu dari penjualan secara kredit
sampai pembayaran menjadi dana yang dapat digunakan untuk
perusahaan.
■ Periode pengumpulan terdiri dari dua bagian:
1. Periode waktu dari penjualan sampai pembayaran tagihan
pelanggan, dan
2. Saktu dari saat pembayaran dikirimkan sampai perusahaan
mengumpulkan dana di rekening bank-nya.

23. Manajemen Piutang: The Five C’s
Kredit
■ Karakter: Rekor pemohon memenuhi kewajiban masa lalu.
■ Kapasitas: Kemampuan pemohon untuk membayar kredit yang
diminta.
■ Modal: Utang pemohon relatif terhadap ekuitas.
■ Agunan: Jumlah aset pemohon telah tersedia untuk digunakan
dalam mengamankan kredit.
■ Kondisi: keadaan sekarang dan kondisi ekonomi industri-
spesifik.

24. MANAJEMEN PIUTANG DAGANG : PENILAIAN KREDIT
*) PENILAIAN KREDIT = PROSEDUR MENGHASILKAN SKOR YANG
MENGUKUR KEKUATAN KREDIT PEMOHON SECARA KESELURUHAN,
DITURUNKAN SEBAGAI TERTIMBANG RATA-RATA SKOR DARI BERBAGAI
KARAKTERISTIK KREDIT.
*) HASIL PROSEDUR SKOR INI YANG NANTINYA BERTUJUAN UNTUK
MENGUKUR KEKUATAN KREDIT PEMOHON SECARA KESELURUHAN, DAN
SKOR INI JUGA DIGUNAKAN UNTUK MENERIMA ATAU MENOLAK
KEPUTUSAN UNTUK PEMBERIAN KREDIT PEMOHON.

25. MANAJEMEN PIUTANG DAGANG : PENILAIAN KREDIT
*) TUJUAN DARI PENILAIAN KREDIT ADALAH UNTUK
MEMBUAT KEPUTUSAN YANG RELATIF AKURAT SERTA
MEMBERIKAN INFORMASI DENGAN CEPAT DAN MURAH

26. Accounts Receivable Management:
Changing Credit Standards
■ The firm sometimes will contemplate changing its
credit standards to improve its returns and generate
greater value for its owners.

27. Accounts Receivable Management:
Changing Credit Standards

28. Dodd Tool, a manufacturer of lathe tools, is currently selling a product
for $10/unit. Sales (all on credit) for last year were 60,000 units. The
variable cost per unit is $6. The firm’s total fixed costs are $120,000.
Dodd is currently contemplating a relaxation of credit standards that is
anticipated to increase sales 5% to 63,000 units. It is also anticipated
that the ACP will increase from 30 to 45 days, and that bad debt
expenses will increase from 1% of sales to 2% of sales. The
opportunity cost of tying funds up in receivables is 15%.
Given this information, should Dodd relax its credit standards?
Changing Credit Standards Example

29. Old Sales Level 60,000 Price/Unit 10.00$
New Sales Level 63,000 Variable Cost/Unit 6.00$
Increase in Sales 3,000 Contribution Margin/Unit 4.00$
Additional Profit Contribution from Sales (sales incr x cont margin) 12,000$
Dodd Tool Company
Analysis of Rexaxing Credit Standards
Additional Profit Contribution from Sales
Changing Credit
Standards Example
■ Additional Profit Contribution from Sales

30. Changing Credit
Standards Example
Cost of marginal investment in A/R:

31. Changing Credit
Standards Example
Cost of marginal investment in A/R:

32. Changing Credit
Standards Example
Cost of marginal bad debts:

33. Changing Credit
Standards Example
Cost of marginal investment in A/R:
Effects on Dodd
Tool of a
Relaxation of
Credit Standards

34. Changing Credit Terms
■ Credit terms are composed of three parts:
– The cash discount
– The cash discount period
– The credit period

35. MAX Company has an average collection period of 40
days (turnover = 365/40 = 9.1). In accordance with the
firm’s credit terms of net 30, this period is divided into 32
days until the customers place their payments in the mail
(not everyone pays within 30 days) and 8 days to receive,
process, and collect payments once they are mailed.
MAX is considering initiating a cash discount by changing
its credit terms from net 30 to 2/10 net 30. The firm
expects this change to reduce the amount of time until the
payments are placed in the mail, resulting in an average
collection period of 25 days (turnover = 365/25 = 14.6).
Changing Credit Terms Example

36. Changing Credit
Terms Example
Analysis of
Initiating a Cash
Discount for MAX
Company

37. Credit Monitoring
■ Pemantauan kredit adalah review yang sedang berlangsung dari sebuah firma
piutang untuk menentukan apakah pelanggan yang membayar menurut
persyaratan kredit dinyatakan. Pembayaran yang lambat akan mahal untuk
sebuah perusahaan karena mereka memperpanjang periode rata-rata koleksi dan
meningkatkan investasi perusahaan di piutang. Dua teknik sering digunakan
untuk memantau kredit adalah koleksi rata-rata periode dan penuaan piutang.

38. Credit Monitoring:
Average Collection Period
■ The average collection period is the average number of
days that credit sales are outstanding and has two parts:
– The time from sale until the customer places the payment in the
mail, and
– The time to receive, process, and collect payment.

39. Credit Monitoring:
Aging of Accounts Receivable

40. PEMANTAUAN KREDIT :
KEBIJAKAN KOLEKSI
Kebijakan koleksi perusahaan adalah prosedur untuk
mengumpulkan rekening sebuah perusahaan piutang ketika mereka
jatuh tempo.
Efektivitas kebijakan ini sebagian dapat dievaluasi dengan
mengevaluasi pada tingkat biaya yang buruk.
Seperti yang terlihat pada contoh sebelumnya, tingkat ini tidak
hanya tergantung pada kebijakan koleksi tetapi juga pada kebijakan
kredit perusahaan.

41. Kesimpulan
■ Working capital merupakan aktiva lancar perusahaan, yang terdiri dari uang tunai
dan surat berharga selain piutang dan persediaan.
■ Tujuan dari manajemen keuangan jangka pendek adalah untuk mengelola
masing-masing aset dan kewajiban lancar perusahaan untuk mencapai
keseimbangan antara profitabilitas dan risiko yang memberikan kontribusi positif
terhadap nilai perusahaan secara keseluruhan.
■ Pusat untuk manajemen keuangan jangka pendek adalah pemahaman tentang
siklus konversi kas perusahaan.

42. ■ Komponen kedua dari siklus konversi kas adalah periode penagihan
rata-rata - rata-rata lama waktu dari penjualan secara kredit sampai
pembayaran menjadi dana yang dapat digunakan untuk perusahaan.
■ Persyaratan kredit Sebuah perusahaan menentukan jangka waktu
pembayaran yang diperlukan dari semua pelanggan kredit. Yaitu Kas
diskon, Periode diskon tunai dan Jangka waktu kredit
■ Sedangkan monitoring kredit adalah review berlangsung rekening
sebuah perusahaan piutang untuk menentukan apakah pelanggan
membayar sesuai dengan persyaratan kredit.