n NISM Certifications
XV NISM Series XV
Medium

In corporate finance, working capital management primarily focuses on:

Practice question from NISM XV Mock Test 5 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Long-term debt financing

  2. Managing short-term assets and liabilities

    Correct answer

  3. C

    Strategic mergers and acquisitions

  4. D

    Equity financing

Why this is the answer

Working capital management ensures a company can meet its short-term obligations and operate efficiently. It involves managing cash, inventory, receivables, and payables. Options A, C, and D pertain to long-term financing or strategic planning, not day-to-day liquidity management.

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