You are considering adding a microbrewery on to one of your firm's existing restaurants. This will entail an increase in inventory of $8000, an increase in Accounts payable of $2500, and an increase in property, plant, and equipment of $40,000. All other accounts will remain unchanged. The change in net working capital resulting from the addition of the microbrewery is:
A) $45,500
B) $10,500
C) $6500
D) $5500
D
Explanation: D) NWC = CA - CL = $8000 - $2500 = $5500
Business
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Which process is most likely to occur in an after-activity review?
A) selection of the most qualified team leader for the next activity B) recognition of members for their contributions to the team C) analysis of what was done well and what needs to be changed D) determination of responsibility for errors and mistakes
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