A B 1 Formula: Add, Subtract, Multiply; Cell referencing 2 3 Problem 11.10 - Investment Cash Flows 4 PROBLEM D E F G H Student Work Area J K L 5 Six Twelve, Inc., is considering opening up a new convenience store in downtown New York 6 City. The expected annual revenue at the new store is $800,000. To estimate the increase 7 8 in working capital, analysts estimate that for firms in the same industry the ratio of cash and cash-equivalents to revenue is 0.03 and the ratios of receivables, inventories, and 9 payables to revenue are 0.05, 0.10, and 0.04, respectively. Required: Provide input into cells shaded in gray in this template. Use a mathematical formula with cell references to the Problem area in order to determine the cash flow related to working captital in year 0 for the project being considered by Six Twelve, Inc. 10 11 12 Expected Annual Revenue $ 800,000.00 13 Ratio of Cash and Equivalents to Revenue 0.03 14 Ratio of Receivables to Revenue 0.05 15 Ratio of Inventories to Revenue 0.10 16 Ratio of Payables to Revenue 0.04 17 18 19 20 Applying these industry estimates to Six Twelve, Inc., what is the expected incremental cash flow related to working capital when the store is opened? Incremental cash flow