Working Capital Simulator
Prices the cash cycle of an export order: days of supplier advance and production, transit and receivable terms, less any supplier credit. It shows capital locked per order and for the number of orders you want running at once, the financing cost per cycle and how many times a year the money turns.
Inputs
CAPITAL REQUIRED, concurrent (₹)₹27,00,000
All resultsResults
CAPITAL REQUIRED, concurrent (₹)
₹27,00,000
Financing cost per cycle (₹)
₹22,192
- Cash conversion cycle (days)
- 90
- Capital locked per order (₹)
- ₹9,00,000
- CAPITAL REQUIRED, concurrent (₹)
- ₹27,00,000
- Financing cost per cycle (₹)
- ₹22,192
- Cycles per year (turns)
- 4.1
- Financing as % of one order
- 2.47 percent
Benchmarks: 5 or more turns a year for a merchant, 3 or more for a manufacturer; financing under 2 percent of revenue; every extra 30 days costs roughly 0.25 to 0.5 percent of margin (Chapter 32).
Supplier credit above the gross cycle makes the cycle negative; the tool shows the result as the sheet does.
Indicative only. Duty, incentive, GST and interest rates move, often by notification and without notice; check the current rate before you quote, order or file. The tool reproduces the book's worksheet and is not tax, legal or financial advice.