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What is Operating Cycle?

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is extracting sap from palm trees. This sweet drink is later used for brown sugar/jaggery production. 

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Mahjubhi pours the hot liquid into molds to cool it  down and make blocks of jaggery/brown sugar or gud (in Hindi). 

Together, they are able to make jaggery so that they can now sell it.


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Operating cycle is the time taken to convert raw material (Sap) into jaggery. (Finished Good)

This cycle helps in understanding how much time a company takes to convert raw material into a finished product. 

Operating Cycle is very important for Businesses

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