Working on an analysis and it says that the company requires an initial increase of 150 mil in working capital. It says that the requirement is that the company needs to increase working capital by 10% per year for the project, and all of it will be returned in the final year. The project has a 6 year life. I want to make sure that I am right in making the numbers negative for the initial and following years with the signs and that its not reversed. (In the end I'm trying to solve for CFFA , NPV, IRR and other calcs etc, so I need them to add up correctly.) And also this is very important: I am unsure how the 10% increase is calculated for years 3 and on. I believe I did them wrong. Would the 10% just be each year at a steady rate coming from the initial or would it compound? Years 0-6 are in the picture. Thank you.

42 Changes in NWC $ (150.00) S (15.00) S (16.50) S (18.15) S (19.97) S (21.96) S 241.58