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The following information was obtained from XYZ Corporation: 2023 EBIT $200,000 Interest $50,000 Depreciation $100,000 Dividends $55,000 2022 2023 Long-term debt $600,000 $600,000 Capital spending
The following information was obtained from XYZ Corporation: 2023 EBIT $200,000 Interest $50,000 Depreciation $100,000 Dividends $55,000 2022 2023 Long-term debt $600,000 $600,000 Capital spending was $150,000 in 2023. The net new equity issuance was $50,000 in 2023. The applicable tax rate was 30% in year 2023.
Calculate the change in net working capital for 2023. Show your calculation.
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