What factors do a financial manager need to consider when determining a suitable level of working capital for a corporation?

2 discussion questions

Learning Goal: I’m working on a finance discussion question and need an explanation and answer to help me learn.

Q1 What factors do a financial manager need to consider when determining a suitable level of working capital for a corporation? Explain why you consider your chosen factors are important.

Why is the hedging principle important for helping firms based in KSA to manage their liquidity? How is this related to Saudi Vision 2030?

Search the SEU library or the Internet for an academic or industry-related article. Select an article that relates to these concepts and explain how it relates to doing business in Saudi Arabia.

For your discussion post, your first step is to summarize the article in two paragraphs, describing what you think are the most important points made by the authors (remember to use citations where appropriate). For the second step, include the reference listing with a hyperlink to the article. Do not copy the article into your post and limit your summary to two paragraphs. Let your instructor know if you have any questions and enjoy your search.

Q2. The Saudi Vision 2030 is a plan to diversify the economy and develop sectors such as education, infrastructure, and tourism. The government desires the encouragement of private investment in a number of sectors of the Saudi economy and emphasizes economic and investment activities and increasing non-oil industry trade between countries.

What role do you consider foreign investors to play in achieving this vision and how should they deal with the exchange rate risks associated with investing in the Saudi economy?

Search the SEU library or the Internet for an academic or industry-related article. Select an article that relates to these concepts and explain how it relates to doing business in Saudi Arabia.

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What factors do a financial manager need to consider when determining a suitable level of working capital for a corporation

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