Level 2 Version 1 Sample Exam (Spoiler) number, having, where

mouse123

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!

cross-ied

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?

busterbluth

i saw you answered this. thank you. this was driving me nuts but u make it look so ez

comp_sci_kid

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.