Question
You've collected the following forecasts of working capital needs for next year: (in $ million) Q1 Q2 Q3 Q4 Cash 4 4 4 4 Accounts
You've collected the following forecasts of working capital needs for next year:
| (in $ million) | Q1 | Q2 | Q3 | Q4 |
| Cash | 4 | 4 | 4 | 4 |
| Accounts receivable | 18 | 10 | 12 | 18 |
| Inventory | 10 | 5 | 10 | 11 |
| Accounts payable | 6 | 4 | 9 | 12 |
What are the permanent working capital needs (in $ million)?
What are the temporary working capital needs in Q4 (in $ million)?
According to the matching principle, how much of your working capital needs should you finance with long-term sources of funds (in $ million)?
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Gapenskis Understanding Healthcare Financial Management
Authors: George H. Pink, Paula H. Song
8th Edition
1640551093, 978-1640551091
