Question

(a) The following information is given to you:
Period covered
Average period allowed by suppliers
Average period allowed to debtors
Raw material consumed during the year
Average stock of raw material
Annual work-in-progress inventory
Average work-in-progress inventory
Annual finished goods inventory
Average finished goods stock held
Total cost of sales
Compute:
() net operating cycle period
(ii) number of operating cycles in a year
(iii) the amount of working capital.
360 days
30 days
45 days
6,00,000
50,000
5,00,000
30,000
8,00,000
40,000
8,40,000​

Answer 1

Answer:

specify more precisely as full information is not given