Based on Case Study 1, find the Average Payment Period.

Let's calculate the values step-by-step:Calculate total Trade Payables:
$$\text{Trade Payables}=\text{Creditors}+\text{Bills Payable}$$
$$\text{Trade Payables}=90,000+52,000=\text{Rs. }1,42,000$$
Calculate Trade Payables Turnover Ratio (TPTR):
$$\text{TPTR}=\frac{\text{Purchases}}{\text{Trade Payables}}=\frac{4,20,000}{1,42,000}\approx 2.9577\text{ times}$$
Calculate Average Payment Period:
$$\text{Average Payment Period}=\frac{365}{\text{TPTR}}=\frac{365}{2.9577}\approx 123.4\text{ days}\approx 123\text{ days}$$