What actions could a company take to reduce its working capital funding gap? Review Later Pay suppliers more quickly Tighten customer credit terms Allow customers to delay payments Increase inventory levels

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The action Company should take  to reduce its working capital funding gap by  Increasing inventory levels.

Working capital is the cash used daily cover all of a corporation's short-time period prices, that are due inside one year. working capital is the distinction between a business enterprise's contemporary assets and modern-day liabilities. operating capital is used every day buy inventory, pay brief-term debt and costs.

Operating capital is calculated by way of subtracting modern-day liabilities from current assets, as listed on the organisation's stability sheet. contemporary belongings encompass cash, accounts receivable and inventory. current liabilities consist of debts payable, taxes, wages and interest owed.

Company in accounting, the running capital total is typically derived from the figures for modern-day property and present day liabilities recorded on the balance sheet.

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