(9 MARKS) QUESTION 1 REQUIRED 1.1 Calculate the working capital cycle for 2019 1.2 Use the percentage of sales method to determine the working capital requirements for the 2020 financial year INFORMATION Bidcore Limited has provided the following extracts of its latest financial statements: Statement of Financial Performance 31 December 2019 Sales Cost of sales Gross profit R 2 200 000 (1 210 000) 990 000 80% of sales are on credit All purchases were on credit Non-current assets of R200 000 will be purchased in the next financial year Statement of Financial Position 31 December 2019 2018 2019 R 1 000 000 Non-current assets 800 000 Inventory Debtors Cash and cash equivalents 330 000 396 000 242 000 100 000 100 000 50 000 Creditors 198 000 400 000 Sales for 2020 is projected to be R3 000 000