Question
Working capital cash flow.Cool Water, Inc. sells bottled water. The firm keeps in inventory plastic bottles at 12% of the monthly projected sales. These plastic
Working capital cash flow.Cool Water, Inc. sells bottled water. The firm keeps in inventory plastic bottles at
12%
of the monthly projected sales. These plastic bottles cost
$0.004
each. The monthly sales for the first four months of the coming year are as follows:
January:2,200,000 |
|
February:2,000,000 | |
March:2,900,000 | |
April:3,200,000 |
What is the monthly increase or decrease in cash flow for inventory given that an increase is a use of cash and a decrease is a source of cash?Note:Enter a decrease as a negative number.
What is the change in working capital for January?
$nothing
(Round to the nearest dollar.)
What is the change in working capital for February?
$nothing
(Round to the nearest dollar.)
What is the change in working capital for March?
$nothing
(Round to the nearest dollar.)
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