19. From the following data provided by K Ltd., compute the Working Capital requirement:

Activity level: 1,20,000 units of output p.a.

Selling price per unit: `100 Per unit raw material cost: `30 Per unit labour cost: `20 Per unit overhead cost: ?

Per unit profit: 25% of selling price Raw materials in store: 1 month Processing period: ½ month Credit allowed to debtors: 3 months Credit allowed by creditors: 1½ months Lag in payment of wages: ½ month Lag in payment of overhead: 1 month 30% of output is sold against cash.

Expected minimum cash balance: `1,00,000 Production is carried on evenly during the year and wages and overheads accrue in the same way.