AB Ltd. sells good at gross profit margin of 20%. It includes depreciation as part of cost of production. The following are the forecasts for the next 12 months period. Determine the requirement of working capital for the company on cash cost basis. Particulars Amount Cash Sales 4,00,000 Sales ( 2 months credit ) 84,00,000 Material consumed ( Suppliers credit is 2 months ) 6,85,000 Manufacturing expenses o/s at the end of the year ( cash expenses are paid one month in arrear) 50,000 Total Administrative expenses ( they are paid as incurred ) 1,80,000 Sales Promotion expenses (paid quarterly in advance) 90,000 Wages ( paid in the beginning of next month) 5,80,000 Raw material and finished goods are kept at one months requirement. Normally, the company maintains Rs. 50000 Of cash balance. A safety margin of 10% will be maintained. Assume no WIP. Ignore the tax. Base your calculations on 360 days in a year. if u can ans this question as soon as possible I'm going to give you a good feedback.