From the following particulars workout the amount of working capital Required:

Elements of cost Amount per unit

Raw materials 8

Direct labour 2

Overheads 6

Total cost 16

Profit 4

Selling price

(1) Raw materials are in stock, on an average 1 month.

(2) Materials are in process, on an average half a month.

(3) Finished goods are in stock on an average 6 weeks

(4) Credit allowed by creditors is one month.

(5) Credit allowed to debtors is 2 months.

(6) Lag in payment of wages is 1.5 weeks.

Assumes 52 weeks in a year and 4 weeks in a month.