Sales for Year 2 of the New Project Are Expected

question 4

Multiple Choice

Sales for year 2 of the new project are expected to increase by 10%. Current assets are expected to increase by 17% for every dollar increase in sales while accounts payable are expected to increase by 6%. For year 2 the change in cash flows due to working capital will be:

• A) +10% of sales.
• B) -10% of sales.
• C) +1.1% of sales.
• D) -1.1% of sales.

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A neurotransmitter in the nervous system involved in many functions including muscle contraction and memory formation.