Investment Banking Interview Prep ⁉️Assume a company has negative Net Work Capital (NWC), and NWC is proportional to sales. If the sales double overnight, what’s the impact to cash? There will be a positive impact to cash. If a company has negative NWC, that means that current liabilities are greater than current assets. If both grow proportional to sales, the growth in current liabilities will exceed the growth in current assets, resulting in an increase in a liability on a net basis, which is