How much net working capital does the firm need to


1. JohnBoy Industries has a cash balance of $44,000, accounts payable of $124,000, inventory of $174,000, accounts receivable of $209,000, notes payable of $119,000, and accrued wages and taxes of $36,500. How much net working capital does the firm need to fund?

2. A firm has a stock price of $56.00 per share. The firm's earnings are $80 million, and the firm has 25 million shares outstanding. The firm has an ROE of 13% and a plowback of 70%. What is the firm's PEG ratio?

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Financial Management: How much net working capital does the firm need to
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