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A.) McDonald's has total sales of $2,475,000, costs are $1,480,000, and depreciation is $162,000. The tax rate is 25 percent. The interest expense is $79,000.

A.) McDonald's has total sales of $2,475,000, costs are $1,480,000, and depreciation is $162,000. The tax rate is 25 percent. The interest expense is $79,000. What is the operating cash flow?

$972,500

$934,000

$887,500

$852,400

$806,500

B.) McDonald's had beginning net fixed assets of $2,870,000 and ending net fixed assets of $2,741,000. Assets valued at $308,000 were sold during the year. Depreciation was $295,000. What is the amount of net capital spending?

$182,000

$166,000

$194,000

$153,000

$175,000

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