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During the acquisition of TerraDyne by Brightling Private Equity, the agreed net working capital ( NWC ) target was $ 5 0 million. At closing,

During the acquisition of TerraDyne by Brightling Private Equity, the agreed net working capital (NWC) target was $50 million. At closing, TerraDynes actual NWC was calculated to be $45 million. If the purchase agreement specifies that any difference from the NWC target will adjust the final purchase price dollar for dollar, how does this affect the final purchase price?

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