Requires net working capital at the beginning of the year

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-A project requires net working capital at the beginning of the year to equal 20% of end-of-year sales. The project will produce $100, $150, $300, $200, and $200 in sales at the ends of years 1 through 5 respectively.

What is –ΔNWC at the beginning of the second year (the beginning of the second year is the same point in time as the end of the first year)?

What is –ΔNWC at the beginning of the fourth year (the beginning of the fourth year is the same point in time as the end of the third year)?

Reference no: EM131016239

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