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15. Uncle Guido's restaurant was a flop! You have been given the following information for you and your partners to analyze a business opportunity.
15. Uncle Guido's restaurant was a flop! You have been given the following information for you and your partners to analyze a business opportunity. (5-year investment.) (4PTS) 1. Annual Data Sales (units) $ Price per unit sold Variable cost per unit sold Rent (and all other fixed costs) II. Other Information Fixed asset investment (equipment, etc.) 5-year tax life, straight line depreciation to zero Income tax rate = 34% a) Calculate the annual pro-forma (projected) net income 200,000 $18 $ 8 $40,000 $2,500,000 b) Calculate the annual pro-forma (projected) operating cash flow (OCF)
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