What is the margin stipulated on the item “Margin money for working capital”?

One hundred percent margin

100 per cent

Its30% as per prevailing rate

One hundred percent of what I think

Agreed with answer one hundred per cent

A tricky question: The margin means the borrowers share in full towards working capital.   It can even be more than100%!!!

Margin on working capital should be based on RISK associated with that item of WC. Normally we charge more margin if the risk factor is involve in this. the other factors should be consider debtors receiving period. inventory holding period, and bad debts etc.

working capital is the cash reserve, funds that a business requires to manage its short-term financial goals - the daily running cost.