Analysis of Working Capital in Relation with Income of the Small Weaving Industry in Kupang City
DOI:
https://doi.org/10.51699/mjssh.v1i7.604Keywords:
Income, Kupang City, Small Industry, Working CapitalAbstract
The role of the small weaving industry in east nusa tenggara, especially in the city of kupang, is felt to be very important in the economy of the community because the technology used is labor-intensive technology so as to overcome the problem of unemployment. Weaving types such as weaving, buna weaves, sotis weaving and natural color weaving are relatively well-known skills among the people of kupang city which have been developed from generation to generation and become the livelihoods of the community. Weaver's income can be influenced by several factors, including working capital. This study aims to determine whether there is an effect of working capital on the income of the small weaving industry in kupang city. This study used a survey with a quantitative descriptive approach. This research was conducted in the small weaving industry in kupang city with a total population of 49 weavers. The sample was taken using saturated samples. Methods of data collection using questionnaires, interviews, documentation and observation. The data analysis technique used is to use financial theory related to working capital and income.
The results showed that working capital has an effect on the income of small industrial weavers in kupang city, because the greater the amount of working capital spent, the greater the income earned. Therefore, it is recommended that weavers keep working capital conditions so that the production process can be increased by itself the income will increase.
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