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Principles of Managerial Finance Chapters 11- Capital Budgeting Cash Flows 12- Risk and Refinements in Capital Budgeting How is working capital handled in the calculation

Principles of Managerial Finance

Chapters

11- Capital Budgeting Cash Flows

12- Risk and Refinements in Capital Budgeting

How is working capital handled in the calculation of cash flows from a capital investment? Is it added, subtracted, or ignored? What is the rationale behind this treatment?

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