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the operating cycle in days and the amount of working capital required: 365 days 32 days Period Covered Average period of credit allowed by suppliers

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the operating cycle in days and the amount of working capital required: 365 days 32 days Period Covered Average period of credit allowed by suppliers Average Total of Debtors Outstanding Raw Material Consumption Total Production Cost 960 8,800 20,000 21,000 32,000 Total Cost of Sales Sales for the year 640 Value of Average Stock maintained: Raw Material Work-in-progress Finished Goods 700 520 You are required to Compute Operating Cycle: a) Raw Material and Storage Stage, (R) b) Work in Process Stage, (W) c) Finished Goods Stage, (F) d) Debtors Collection Stage, (D) e) Creditors Payment Period Stage. (C) 1) Write a report on the Operating Cycle of the company

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