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Suppose that Linksys is considering the development of a wireless home networking appliance, called HomeNet, that will provide both the hardware and the software necessary
Suppose that Linksys is considering the development of a wireless home networking appliance, called HomeNet, that will provide both the hardware and the software necessary to run an entire home from any Internet connection. Linksys's receivables are 15.1% of sales and its payables are 14.1% of COGS. Forecast the required investment in net working capital for HomeNet assuming that sales and cost of goods sold (COGS) will be as follows: 0 1 2 3 4 Year Sales COGS $23,449 $26,283 $23,770 $8,349 $9,479 $10,625 $9,609 $3,375 The required investment in net working capital for year 0 is $0. (Round to the nearest dollar.) (Round to the nearest dollar.) (Round to the nearest dollar.) The required investment in net working capital for year 1 is $ The required investment in net working capital for year 2 is $ The required investment in net working capital for year 3 is $ The required investment in net working capital for year 4 is $ (Round to the nearest dollar.) (Round to the nearest dollar.)
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