Question

In 2011, a firm books the following:  increase in cash, $0; increase in inventories $13; increase in accounts receivable, $29; increase in accounts payable, $17; what is the firms change in net working capital?

Answer 1

given: increase in inventories= $13 increase in accounts receivable =$29 increase in accounts payable=$17 solution: change in net working capital = increase in inventories + increase in accounts receivable - increase in accounts payable. change in net working capital = 13+29-17 = $25