Efrin Inc. currently creates $345,000 of sales from the energy efficient light bulbs. A new campaign is

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Efrin Inc. currently creates $345,000 of sales from the energy efficient light bulbs. A new campaign is expected to increase next year's sales by 8% and the company projects to lower their average collection period from 42 days to 39 days. They also predict that it would not affect the other working capital items.

What would be the change in NWC that will result for Efrin as a result of this new campaign?

Related Book For answer-question

Financial Reporting Financial Statement Analysis and Valuation a strategic perspective

ISBN: 978-1337614689

9th edition

Authors: James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

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Posted Date: Jun 16, 2023 03:24 AM

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Efrin Inc. currently creates $345,000 of sales from the energy efficient light bulbs. A new campaign is

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To calculate the change in Net Working Capital NWC resulting from the new campaign we need to consid... View the full answer

Financial Reporting Financial Statement Analysis and Valuation a strategic perspective

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