What financial management concept involves the care of accounts receivable and inventory?

The concept that involves the care of accounts receivable and inventory is working capital management. This area of financial management focuses on optimizing the balance between a firm's short-term assets and liabilities to ensure operational efficiency.

Accounts receivable refers to the money owed to a business for goods or services already delivered, and managing this effectively means ensuring that payments are collected in a timely manner. Inventory management, on the other hand, involves overseeing the ordering, storage, and use of inventory, which impacts cash flow and the ability to meet customer demands.

Effective working capital management ensures that a business has sufficient cash flow to meet its day-to-day operational expenses while minimizing the costs associated with holding too much inventory or letting receivables age beyond their collection terms. This balance is crucial for maintaining liquidity and supporting ongoing operations.

In contrast, other options like compliance relate to adhering to regulatory standards, debt financing focuses on obtaining funds through borrowing, and revenue cycle management centers on the processes that healthcare organizations follow to manage the patient financial experience, from the initial patient encounter to the final payment. While these concepts are important in their respective contexts, they do not specifically center on managing accounts receivable and inventory as working capital management does.