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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

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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

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