Question no
The following information is furnished by ABC limited for obtaining Working capital finance from Supreme Bank:
Marks
tableCurrent liabilities,RsCurrent Assets,RsCreditors for purchase,Raw Materials,Other current liabilities,Stock in Progress,tableBank borrowingsexcluding BPBDFinished Goods,tableReceivables other thandeferred & exportsexcluding BPBDOther Current Assets,
Deferred receivables maturing exceeding year : Rs
Bills Purchased and Bills Discounted facilities amounting to Rs
Other Current Assets include the following:
Investment in Subsidiaries and Associates
Advance paid for purchase of capital : Rs
Calculate the Maxim : Rs
Method II
Bank Financing towards Working Capital under Tandon Committee
Calculate the excess borrowing in each method and how is it treated
Calculate the Current ratio in each case.
Mention the major terms and conditions or Loan Covenants of working Capital facilities
Explain the process of assessment of Letter of Credit Limit
