● Following information are available in respect of a manufacturing concern:

(i) Production 1,20,000 units p.a.

(ii) Selling price `10 per unit.

(iii) Analysis of Sales: Materials 40%, labour 30%, Overhead 20%, Profit 10%.

(iv) Raw materials are in store for 1 month.

(v) Materials are in process for 1

2 month.

(vi) Finished goods are in store for 1

1 2

months

(vii) Credit allowed to debtors 3 months.

(viii) Credit allowed by supplier of raw material 2 months.

(ix) Lag in payment of wages and overheads 1

2 month.

(x) Expected cash balance `50,000 Calculate Working Capital requirement.