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A new proposed project, with a life of 5 years, has following per year estimates: Net Sales = $ 877,000 Variable Expenses = 60% of
A new proposed project, with a life of 5 years, has following per year estimates:
Net Sales = $ 877,000
Variable Expenses = 60% of Net Sales (AKA COGS)
Fixed Cost = $ 550,000
Depreciation = $ 87,000
Tax Rate = 35%
According to your calculations, the estimated After Tax Cash flow per yearis:
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