The circulating capital of a business enterprise is classified into

The circulating capital of a business enterprise is classified into
  • A.
    Cash, work-in-progress and debtors
  • B.
    Cash, Vehicles, land and building
  • C.
    debtors, stocks of raw materials and fitting
  • D.
    Prepayments, debtors and equipment
Correct Answer: Option A
Explanation

circulating capital is the amount of many used for day-to-day running of the business. It is the capital available to a firm for general purpose after current liabilities have been deducted. It is the excess of current liabilities over the current liabilities

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