Company A estimates that it needs 30% of sales in net working capital. In year 1, sales were $1 million and in year 2, sales were $2 million. Associated with the change in net working capital from year 1 to year 2 is a cash: (A) inflow of $300,000. (B) outflow of $300,000. (C) inflow of $600,000. (D) outflow of $600,000.
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