The inventory of raw materials included in the working capital is usually about ______________ month‟s supply of raw materials valued at delivery prices?
Correct answer: A. One
- A. One
- B. Three
- C. Six
- D. Twelve
Explanation
Working capital commonly includes about one month's stock of raw materials valued at delivered cost. Larger inventories may be needed for seasonal or uncertain supply conditions, but one month is the usual estimate.
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