Calculate the change in working capital

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The current level of net working capital is 50,000. While the new project requires an initial net working capital of 90,000. The subsequent net working capital require 10% of sale revenue.

  • Sale revenue in year 1: 1,700,000
  • Sale revenue in year 2: 1,900,000
  • Sale revenue in year 3: 1,800,000
  • Sale revenue in year 4: 1,850,000

Calculate the change in working capital (from year 0 to year 4)?

Reference no: EM132662153

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