V.S.M. Ltd. is engaged in large scale retail business. From the following informations you are required...
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V.S.M. Ltd. is engaged in large scale retail business. From the following informations you are required to forecast their working capital requirements. Projected Annual Sales Rs. 130 lakhs Percentage of net profit on cost of sales 25% Average credit period allowed to debtors 8 weeks. Average credit period allowed by creditors 4 weeks. Average stock carrying 8 weeks (in terms of sales requirements). Add : 10% to computed figures to allow for contingencies. V.S.M. Ltd. is engaged in large scale retail business. From the following informations you are required to forecast their working capital requirements. Projected Annual Sales Rs. 130 lakhs Percentage of net profit on cost of sales 25% Average credit period allowed to debtors 8 weeks. Average credit period allowed by creditors 4 weeks. Average stock carrying 8 weeks (in terms of sales requirements). Add : 10% to computed figures to allow for contingencies.
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Rs Particulars Lakhs Annual Sales 130 Less Cost of Sale... View the full answer
Related Book For
Database Systems A Practical Approach to Design Implementation and Management
ISBN: 978-0132943260
6th Edition Global
Authors: Thomas Connolly, Carolyn Begg
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