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Overtrading and the funding gap – worked example with 20% sales growth?

Asked by a student · 2h ago

Resitting FM and I keep stumbling on overtrading calculations. Could someone share a full numerical walkthrough showing the impact of a 20% sales increase on the cash operating cycle and the resulting funding gap, using, say, 60-day receivables, 30-day inventory and 45-day payables? I'd really value seeing the step-by-step conversion from days to £ and the final additional working capital needed.
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