initial investment
Question
A proposed project requires an initial investment of $8500 in current assets, 75% of which will be financed with
accounts payable. the project will have
a. an initial cash outflow of $8500 at time zero for net working capital
b. a cash outflow for net working capital at the end of the project
c. a cash inflow at the end of the project from net working capital
d. a cash outflow for net working capital every year of the project’s life