I am having an extremely hard time deciphering how they calculate NWCInv on the FCFF and FCFE Equity Questions near the end. they list NWCInv as being (80-105) and I cant see where they got this number from…PLEASE HELP!
At 31 December 2007 2006 Accounts receivable 413 417 Inventories 709 638 Other current assets 136 123 Current Liabilities $2,783 $2,678 So change in Current assets other than Cash: (413+709+136) - (417+638+123) = 80 Change in Current Liabs: 2783-2678=105 So WCInv = 80-105 = -25.
i saw you answered this. thank you. this was driving me nuts but u make it look so ez
How did you know which numbers to use? Do the sample exams let you keep the questions this time around, or are you not referring to the CFAI samples?