As a Project Comes to Its End,there Is a Disinvestment

question 91

True/False

As a project comes to its end,there is a disinvestment in working capital,which also generates positive cash flow as inventories are sold off and accounts receivable are collected.

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Definitions:

Cash Proceeds

The amount of money received from a transaction, often from the sale of assets or securities.

Expected Growth Rate

Represents the anticipated annual rate at which an investment, company, or economy will grow over a specified period.

Rate of Return

The gain or loss of an investment over a specific period, expressed as a percentage of the investment's initial cost.

Dividend

A portion of a company's earnings distributed to its shareholders, usually in the form of cash or stock.