Answer:
Net working capital decreases by 3
Explanation:
Net working capital is the aggregate amount of all current assets and current liabilities and is used to measure the short-term liquidity of a business. Net working capital is calculated by the formula:
Net working capital = Current assets - Current liabilities
At the beginning of the year, Net working capital = 394 - 255 = 139
At the end of the year, Net working capital = 431 - 295 = 136
Net working capital decreases by 3
