Question: Question list K (Calculating changes in net operating working capital) Duncan Motors is introducing a new product and has an expected change in net

Question list K (Calculating changes in net operating working capital) Duncan Motors

Question list K (Calculating changes in net operating working capital) Duncan Motors is introducing a new product and has an expected change in net operating income of $305,000. Duncan Motors has a 32 percent marginal tax rate. This project will also produce $49,000 of depreciation per year. In addition, this project will cause the following changes in year 1: Without the Project With the Project Question 1 Accounts receivable $37,000 $25,000 Inventory Accounts payable 20,000 46,000 41,000 88,000 Question 2 (Click on the icon in order to copy its contents into a spreadsheet.) What is the project's free cash flow in year 1? Question 3 The free cash flow of the project in year 1 is $ . (Round to the nearest dollar.) Question 4 Question 5 Question 6 ... Help me solve this View an example Get more help Clear all A Check answer

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