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A capital budgeting project is expected to generate an increase to annual operating cash flow of $10,000 per year. Annual depreciation from the project is
A capital budgeting project is expected to generate an increase to annual operating cash flow of $10,000 per year. Annual depreciation from the project is $5,000 and the company's tax rate is 40 percent. What is the projects estimated Year 1n cash flows?
a. | $ 11,000 | |
b. | $ 9,000 | |
c. | $ 8,000 | |
d. | $ 15,000 |
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