Your company is considering a new investment project. It's estimating that in the first year it...
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Your company is considering a new investment project. It's estimating that in the first year it will be able to receive $387,000 in sales revenue, the production costs will total $263,000, and it will be in the 31% corporate income tax rate bracket. In addition, your company would need to spend $400,000 on buying production equipment, which will be depreciating straight line over 13 years. Calculate the estimated first year Operating Cash Flow. Increase decimal places for any intermediate calculations, from the default 2 to 6 or higher. Only roum TWO decimal places: for example, 10,000.23. Do NOT use "$" in your answer. Your company is considering a new investment project. It's estimating that in the first year it will be able to receive $387,000 in sales revenue, the production costs will total $263,000, and it will be in the 31% corporate income tax rate bracket. In addition, your company would need to spend $400,000 on buying production equipment, which will be depreciating straight line over 13 years. Calculate the estimated first year Operating Cash Flow. Increase decimal places for any intermediate calculations, from the default 2 to 6 or higher. Only roum TWO decimal places: for example, 10,000.23. Do NOT use "$" in your answer.
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Related Book For
Principles of Corporate Finance
ISBN: 978-0077404895
10th Edition
Authors: Richard A. Brealey, Stewart C. Myers, Franklin Allen
Posted Date:
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