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5 July, 04:51

g A proposed project requires an initial investment of $8,500 in current assets, 75% of which will be financed with accounts payable. The project will have: a cash outflow for net working capital at the end of the project. a cash outflow for net working capital every year of the project's life. an initial cash outflow of $8,500 at time zero for net working capital. a cash inflow at the end of the project from net working capital.

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  1. 5 July, 06:52
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    a cash inflow at the end of the project from net working capital

    Explanation:

    Given dа ta:

    Initial investment = $ 8500

    Account payable = 75% of the amount invested = 0.75 * $ 8500 = $ 6375

    Now,

    the net working capital invested = Initial investment - Account payable

    or

    the net working capital invested = $ 8500 - $ 6375

    or

    the net working capital invested = $ 2125

    hence, the answer is "a cash inflow at the end of the project from net working capital"
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