JKL Company Ltd. has current assets of 1,00,00,000 and current liabilities of 50,00,000. The Financial manager of the company desires to make a…

CA Intermediate · Financial Management and Strategic Management · PYQS · January 2025
JKL Company Ltd. has current assets of 1,00,00,000 and current liabilities of 50,00,000. The Financial manager of the company desires to make a provision for contingencies @20% of working capital. Accordingly, what would be the amount of working capital requirement for the company?
(A) 55 Lakh
(B) 60 Lakh
(C) 65 Lakh
(D) 70 Lakh

Suggested Answer and Working Notes:

Correct Answer: Option (B)

60 Lakh

Topics: Part-A: Financial Management

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