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A company has annual credit sales of $27 million and related cost of sales of $15 million. The company has the following targets for the

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A company has annual credit sales of $27 million and related cost of sales of $15 million. The company has the following targets for the next year: - Trade receivables days - 50 days - Inventory days - 60 days - Trade payables days - 45 days Assume there are 360 days in the year. What is the net investment in working capital (the working capital requirement) for the next year? A. $8,125,000 B. $4,375,000 C. $2,875,000 D. $6,375,000

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