Opertaing cycle

HELLO PRIYADARSHINI,IN WHICH BOOK THIS TYP OF FORMULA IS GIVEN,

HELLO PRIYADARSHINI,IN WHICH BOOK THIS TYP OF FORMULA IS GIVEN,

I got this from a book published by taxmann, sameer..

I got this from a book published by taxmann, sameer..

For the purpose of Schedule VI, ‘Operating Cycle’ stands normally for a period of less than or equal to  coming 12 months. 

Sometimes, ‘Operating Cycle’ assumption ends by the end of coming Financial year.

If the nature of business Products/Services  needs more that 12-months period to get matured ( by receiving receipts / by paying payments ) that period is considered as an ‘Operating Cycle’ in such specific situations.      There are this sort of instances, no doubt.