Question: From the following data compute the operating cycle in days and the amount of working capital required. Period covered 365 days Average period of credit

From the following data compute the operating cycle in days and the amount of

working capital required.

Period covered 365 days

Average period of credit allowed by suppliers 15 days

(Rs. In '000)

Average total debtors outstanding 500

Raw Material Consumption 4,400

Total Production Cost 10,000

Total Cost of Sales 10,500

Sales for the year 16,000

Value of Average Stock maintained:

Raw Material 320

Work - in- progress 350

Finished Goods 260

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