Calculate net working capital and the cash inflows and outflows due to investment in working capital. Note: Negative answers should be indicated by a minus sign.
Calculate net working capital and the cash inflows and outflows due to investment in working capital. Note: Negative answers should be indicated by a minus sign.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
![The following table tracks the main components of working capital over the life of a four-year project.
2024
2025
0
194,000
0
97,000
36,000 0
Accounts receivable
Inventory
Accounts payable
Net working capital
Cash flows
2021
2021
0
77,000
26,000
2022
154,000
132,000
51,000
Calculate net working capital and the cash inflows and outflows due to investment in working capital.
Note: Negative answers should be indicated by a minus sign.
2023
229,000
132,000
52,000
2022
2023
2024
2025](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F90eb1610-f188-4898-9074-e74ef7815b36%2Ffd4f3576-cc61-48fd-a6fc-4eaa3800901e%2Fbrkkrc_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The following table tracks the main components of working capital over the life of a four-year project.
2024
2025
0
194,000
0
97,000
36,000 0
Accounts receivable
Inventory
Accounts payable
Net working capital
Cash flows
2021
2021
0
77,000
26,000
2022
154,000
132,000
51,000
Calculate net working capital and the cash inflows and outflows due to investment in working capital.
Note: Negative answers should be indicated by a minus sign.
2023
229,000
132,000
52,000
2022
2023
2024
2025
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