Veggie Details - Ratio - Working Capital

KAF

Hi All,

I've tried working at the working capital of Veggie Details but it doesn't seem right.

My calculations are below

Trade Payable days is 303236/2146134 x 365 = 51.6 days

Trade Receivable days is 1073/ 4189380 x 365 = 0.09 days

Inventory Holding period is 36947/ 2146134 x 365 = 6.3 days

Working capital = 0.09 + 6.3 - 51.6 = -45.21 days.

The financial statements should be below. Any help would be greatly appreciated.

Thanks

Pian32

So the only thing I can think of would be in other information. What is the distribution of Credit and Cash sales. Remember only the Credit sales/purchases are included in the calculation.

KAF

Hi Pian,

Yeah I’ve had a look and couldn’t see anything else. I’ve also used the credit sales and purchases for the calculations. Really weird it would to come a minus amount.