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Under this method, approximated profit is calculated depends on transactions of the ensuing period. Afterward, decrease or increase in working capital is determined adjusting the estimated profit through cash inflows and cash outflows. This is like cash flow statement. Some banks in India use forms for calculating working capital in this method. A specimen of such a form is specified below.
Computation of Working Capital
Rs.
Net Income
..............
Add: (i) Non-cash Items
...............
Working Capital Provided Operations
... ... ... ...
Add: (ii) Cash inflow Items
Less: Cash Outflow items
.
Net Changes in Working Capital
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opening stock 19000 closing stock 21000 sales 200000 gross profit 25% on sales calculate stock turnover ratio
I want some to solve my process costing problem solved
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How to calculate straight line depreciation for a partial year i.e. Refurb. depreciation starts in may till end of 8 year lease. Therefore its 7.666 years
hi how do we find a schedule of expected cash collections
LIFE CYCLE COSTING Introduction Life cycle costing as its name implies costs the cost object i.e., product project etc. over its projected life. It is used to explain a s
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