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Initial project costs for net working capital

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Reference no: EM131472922

Jim's Hardware is adding a new product to its sales lineup. Initially, the firm will stock $36,000 of the new inventory, which will be purchased on 30 days' credit from a supplier. The firm will also invest $13,000 in accounts receivable and $11,000 in equipment. What amount should be included in the initial project costs for net working capital?

  • -$3,000
  • -$47,000
  • -$24,000
  • -$13,000
  • -$49,000

Reference no: EM131472922

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