Working Capital

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May 24, 2013 at 5:25 pm #127083
namratajain2012
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In kaplan exam kit, question no. 18 PNP PLC(june 07). the solution assumes that the amount of irrecoverable debt also decreases with the decrease in the amount of receivables. Is it necessary to assume ?
May 25, 2013 at 6:35 am #127116
John Moffat
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It is the most sensible assumption – if the level of receivables changes, then it would be reasonable to assume that the level of irrecoverables will change.
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