Question

The Board of Directors of Suman Industries Pvt. Ltd. request you to prepare a statement showing working capital requirements from the following information.Forecast for a level of activity of 48,000 units of production. The cost data is as follows : Raw materials as well as finished goods are in stock on an average of one month where as materials are in process on an average period of ½ month. Credit allowed by suppliers is of one month & to customers is two months. Lag in payment of wages is one and half weeks. Lag in payment of overheads is one month. Cash and Bank balance equivalent to one month’s Cash Sales.20% of the output is sold against cash. It is to be assumed that production is carries on evenly throughout the year. Wages & overheads accrue similarly & a time period of four weeks is equivalent to a month.

Answer 1

Answer:

20% ok friend it is use full for you answered