Assuming that KXS's market share will increase by 0.25% per year, you determine that the plant will require an expansion in 2020.

The expansion will cost 21.7million. Assume the following: the financing of the expansion will be delayed accordingly (end of2020), KXS uses a ten-year bond, interest rates remain the same, and KXS's tax rate is 35%. Using the accompanying table of projected values, calculate KXS's additional annual working capital requirements through

2023.

Click the icon to view the table of projected values through

2023.

Part 1

The additional annual working capital requirements for 2019 will be $enter your response here

thousand. (Round to the nearest integer.)

'Projected values $(000s) 2018 2019 2020 2021 2022 2023 Accounts Receivable 14,216 15,699 17,179 18,839 20,639 23,431 Inventory 14,915 16,459 18,042 19,861 21,789 23,735 Cash 11,932 13,121 14,421 15,854 17,340 19,079 Accounts Payable 11,985 13,157 14,460 15,899 17,420 19,060