mgisaac3322 mgisaac3322

24-06-2020
Business

contestada

Due to the adoption of a just in time assembly line system, NWC is expected to decrease. Inventory is expected to decrease from $254600 to $143072 while accounts payable will also decrease by $26648. What is the cash flow impact for the change in net working capital to be included in the initial investment

Respuesta :

andromache andromache

27-06-2020

Answer:

$84,880

Explanation:

Since there is a decrease in inventory from $254,600 to $143,072 i.e $111,528 and the account payable is also decreased by $26,648

So, there is an increase in cash flow due to the change in net working capital of

= Decrease in inventory - decrease in account payable

= $111,528 - $26,648

= $84,880

Hence, the cash flow impact is of $84,880 i.e to be included in the initial investment

Answer Link

Otras preguntas

If the insured is unable to perform the important duties of their own occupation, What would continue to be paid even if such person was working at another occu

Manitoba has two major mineral deposits - copper-zinc and nickel - both located in: a) Flin Flon b) Thompson c) The Pas d) Swan River

Knowing that the mole ratio in a sample allows the chemist to determine the identity of the substance. What is the empirical formula for sample R0103?

y=f(x) is a periodic function, if the period is 2, which statement is definitely true? a) f(-6.5)=f(12.5) b) f(-1.5)=f(1.5) c) f(-3.5)=f(12.5) d) f(1.5)=f(8.5)

In negotiations leading to the goals of a treatment plan that the client will embrace and perform, it is very important for the goals to be: A. Specific to the

What roadside sanction(s) will you be subject to for your first offense within 10 years if your blood alcohol level measures between 0.5% and 0.8% when driving?

What does a blinking red light from the ATC tower mean?

Matching. 1 . y = |-x| 2 . y = x² - 2x + 1 3 . y = x² - 2x 3 4 . y = |-3x| 5 . y = -|2x| 6 . y = 2x² + 4

What is the perimeter of this red polygon? 3 cm 2 cm 4 cm [? ]cm 4 cm

2 Expenses: Cost of merchandise sold Interest expense Selling expenses Administrative expenses Total expenses Net income Feedback Druid Hills Co. Income Stateme