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A&D Inc. is projecting the following increases and decreases over the next year: Inventory - increase by $3 million Accounts receivable - decrease by $2

A&D Inc. is projecting the following increases and decreases over the next year: Inventory

- increase by $3 million Accounts receivable

- decrease by $2 million Accrued payroll taxes

- increase by $1 million Fixed assets

- increase by $5 million Long term debt

- increase by $4 million Revenues

- increase by $6 million As a result of its projections,

A&D Inc. can expect it's net working capital to:

a. increase by $7 million

b. Increase by $1 million.

c. Decrease by $1 million

d. Not change.

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