Why do we include the accumulated investment in net working capital as a cash inflow at the end of a...

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Why do we include the accumulated investment in net working capital as a cash inflow at the end of a project?

Pallavi · Accepted Answer

Almost every project requires working capital investment in order to finance purchase of stock, pay accounts payable, salary and wages and meet regular business expenses pertaining to that project. The working capital investment is generally required to be made in any project at the beginning of that project.

Why do we include the accumulated investment in net working capital as a cash inflow at the end of a project?

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