Diswo Inc Needs to Maintain 15% of Its Sales in Net

Multiple Choice

Diswo Inc. needs to maintain 15% of its sales in net working capital. Lottie's is considering a 3-year project which will increase sales from their current level of $110,000 to $135,000 the first year and $145,000 a year for the following two years. What amount should be included in the project analysis for the last year of the project in regards to the net working capital?

A) -$35,000
B) -$5,250
C) $0
D) $5,250
E) $35,000