Please answer in details within 30 minutes. dont.copy from previous answers they were wrong. Calculate the needs of working capitalA company plans annual operating costs of 3.65 mil. EUR. Due to their supply politics they plan tohave 30 days inventory turnover while they have a 20 day maturity of supplier invoices.Company has 4 groups of customers:1st group are stable customers, whom the company grant a 30day trade credit. They make 30 % of all customers.2nd group are reliable business partners buying insmaller amounts. They are granted 20 day trade credit and their share is 30 % of allcustomers. 3rd group are local buyers who are personally known and get 50 day trade credit. Theymake 20 % of customers. 4th group are random buyers paying in cash.1. Calculate the need of working capital. The answer is [WCN]

WCR(days) = Inventory + Accounts Receivable – Accounts Payable = 30+(30+20+50)-20…

Answered: 1. Calculate the need of working…

Business

Accounting

1. Calculate the need of working capital. The answer is [WCN]

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter21: Supply Chains And Working Capital Management

Section: Chapter Questions

Problem 10MC

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