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Seasonal fluctuations
Managing Current Liabilities Amid Seasonal Variations
December 23, 2023
What impact do seasonal fluctuations have on the management of current liabilities?
Seasonal fluctuations affect current liabilities as businesses face varying cash needs and operational demands throughout the year. Increased production or inventory buildup during peak seasons might raise short-term obligations. Managing working capital efficiently during off-peak periods becomes crucial to cover these liabilities, ensuring smooth operations and financial stability despite seasonal shifts.
Tags : Seasonal Fluctuations , Working Capital Management , Financial Planning