Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The current assets and current liabilities of BDR Ltd as at 31 March 2018 are as follows: For the year to 31 March 2018, BDR
The current assets and current liabilities of BDR Ltd as at 31 March 2018 are as follows: For the year to 31 March 2018, BDR Ltd had sales of 67,480 (all on credit) and cost of sales was 46,550. (Click here to view the data table.) Required a) Calculate the operating cash cycle of BDR Ltd at 31 March 2018. Note: you should assume that there are 365 days in the year. Calculate the operating cash cycle and its component ratios to the nearest day. b) Explain what is meant by the operating cash cycle. a) Calculate the operating cash cycle of BDR Ltd at 31 March 2018. Note: you should assume that there are 365 days in the year. (Calculate the operating cash cycle and its component ratios to the nearest day.) The operating cash cycle of BDR Ltd is days 1,450 Inventory Trade receivables Cash 5,820 3,480 10,750 Trade payables Taxation 4,440 1,210 5,650 Net current assets 5,100
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started