This document discusses working capital management. It defines working capital as the current assets of a company, such as cash, inventory, and receivables. It also discusses current liabilities. The key points made are: - Working capital refers to the capital required to meet short-term expenses like salaries and supplier payments. Proper management is important for business liquidity and efficiency. - The three main approaches to financing working capital are: matching short-term assets with short-term debt (hedging approach), financing all working capital with long-term debt (conservative approach), and maximizing short-term debt usage (aggressive approach). - Working capital management aims to balance liquidity, risk exposure