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Salamku Trading is planning to purchase raw materials on 1st April 2020 and the payment will be on credit term net 60. The goods will

Salamku Trading is planning to purchase raw materials on 1st April 2020 and the payment will be on credit term net 60. The goods will be sold on 30th June 2020 with the credit term 4/10 net 50. Meanwhile, total initial outlays of the company are RM 550,000 and the annual sales of the company are RM 250,000.

1. Calculate:

i) Operating Cycle

ii) Cash cycle

iii) Cash turnover

iv) Minimum operating cash

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