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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 14.8% of sales and its payables are 15.3% 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:

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Part 1

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

14.8%

of sales and its payables are

15.3%

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:

The required investment in net working capital for year 0 is

$ (Round to the nearest dollar.)

The required investment in net working capital for year 1 is

$(Round to the nearest dollar.)

The required investment in net working capital for year 2 is

$Round to the nearest dollar.)

The required investment in net working capital for year 3 is

$ (Round to the nearest dollar.)image text in transcribed

The required investment in net working capital for year 4 is

$ (Round to the nearest dollar.)

The required investment in net working capital for year 0 is $ (Round to the nearest dollar.) The required investment in net working capital for year 1 is S (Round to the nearest dollar.) The required investment in net working capital for year 2 is $ (Round to the nearest dollar.) The required investment in net working capital for year 3 is $ (Round to the nearest dollar.) The required investment in net working capital for year 4 is $ (Round to the nearest dollar.) Data table (Click on the following icon in order to copy its contents into a spreadsheet.)

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