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Insufficient working capital results in

This question belongs to Commerce Financial Management
Financial Management
?

Insufficient working capital results in __________.

Answer & Solution
Correct Answer: Option D
Insufficient working capital results in Lack of smooth flow of production. Inadequate amount of working capital may create a lot of financial problems in business. Due to shortage of working capital, raw materials can not be purchased on time and payment of labor and other expenses can not be made on time.
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