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Overcapitalization and overtrading

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FM Exams › Overcapitalization and overtrading

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  • April 8, 2026 at 11:24 am #725520
    GAHUNDA
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    for the question related to overcapitalization and overtrading when they doubled the size of their firm we got overdraft of $100 but they had $50 cash from last year period why didn’t this cash cover a half of the overdraft so they could have remained with overdraft of $50?

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