regarding the Q 364 clean feet co, bpp exam kit

This topic has 1 reply, 2 voices, and was last updated 2 years ago by IAW3005.

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February 26, 2024 at 9:35 am #701162
Uzmaan
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clean feet co …..
Sir im confused how do we find purchase in finding the trade payables collection period? Also the inventory holding period?
February 26, 2024 at 12:36 pm #701178
IAW3005
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Its payables over all costs * 365

800/ (5769+4023) * 365 = 30

Its inventory over direct costs * 365

Remember : direct costs
Costs that can be directly tied to the production of specific goods or services.

1286 / 5796 * 365
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