Explanation:

- Credit Revenue from Operations: The sales made on credit amounting to Rs 6,00,000.

- Cash Revenue from Operations: The cash sales amounting to Rs 1,50,000.

- Debtors: Customers who owe Rs 1,00,000 for purchases made on credit.

- B/R (Bills Receivable): Bills amounting to Rs 50,000 that are yet to be collected.

To find the average collection period, use the formula:

$$ \text{Average Collection Period} = \left( \frac{\text{Debtors} + \text{B/R}}{\text{Credit Revenue}} \right) \times 12 $$

Substitute the values:

$$ \left( \frac{1,00,000 + 50,000}{6,00,000} \right) \times 12 = 3 \text{ Months} $$

- Option 1: 2 Months

- Option 2: 2.4 Months

- Option 3: 3 Months

- Option 4: 1.6 Months