Question
If raw materials are in store for 2 months, processing time 2½ months, finished goods remain in store for 15 days, debtors are allowed 60 days’ credit and credit received from suppliers of raw material is one month, the operating cycle period is :
A 7 months
B 6 months
C 6½ months
D 5 months
View Answer
Answer & Explanation
Answer: 6 months