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You are analyzing a project and have developed the following estimates. The depreciation is $72,000 a year and the tax rate is 35 percent. What is the operating cash flow? Unit Sales Price per Unit 2,900 $220 Variable Costs per Unit $160 Fixed Costs $28,500 a. $119,775 b. $138,275 c. $153,075 d. $164,775

You are analyzing a project and have developed the following estimates. The depreciation is $72,000 a year and the tax rate is 35 percent. What is the operating cash flow? Unit Sales Price per Unit 2,900 $220 Variable Costs per Unit $160 Fixed Costs $28,500 a. $119,775 b. $138,275 c. $153,075 d. $164,775

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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You are analyzing a project and have developed the following estimates. The depreciation is $72,000 a year and the tax rate is 35 percent. What is the operating cash flow? Unit Sales Price per Unit 2,900 $220 Variable Costs per Unit $160 Fixed Costs $28,500 a. $119,775 b. $138,275 c. $153,075 d. $164,775
Transcribed Image Text:You are analyzing a project and have developed the following estimates. The depreciation is $72,000 a year and the tax rate is 35 percent. What is the operating cash flow? Unit Sales Price per Unit 2,900 $220 Variable Costs per Unit $160 Fixed Costs $28,500 a. $119,775 b. $138,275 c. $153,075 d. $164,775
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