Question
A project with a life of 7 years is expected to provide annual sales of $350,000 and costs of $245,000. The project will require an
A project with a life of 7 years is expected to provide annual sales of $350,000 and costs of $245,000. The project will require an investment in equipment of $625,000, which will be depreciated on a straight- line method over the life of the project. You feel that both sales and costs are accurate to +/10 percent. The tax rate is 35 percent. What is the annual operating cash flow for the best-case scenario?
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Contemporary Engineering Economics
Authors: Chan S. Park
5th edition
136118488, 978-8120342095, 8120342097, 978-0136118480
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