Question
Dollar Diamond is considering a project which will require additional inventory of $134,000 and will also increase accounts payable by $37,000 as suppliers are willing
Dollar Diamond is considering a project which will require additional inventory of $134,000 and will also increase accounts payable by $37,000 as suppliers are willing to finance part of these purchases. Accounts receivable are currently $100,000 and are expected to increase by 8% if this project is accepted. What is the initial project cash flow related to net working capital? Please show all the calculations by which you came up with the final answer.(3 Points)
This answer also doesn't make sense on the answer that is uploaded to the website. Because when you type the work into the calculator it does not give you the answer that the website says it is supposed to be.
Please explain.
Thank you.
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