Question
A proposed new project has projected sales of $135,000, costs of $69,000, and depreciation of $13,800. The tax rate is 30 percent. Calculate operating cash
A proposed new project has projected sales of $135,000, costs of $69,000, and depreciation of $13,800. The tax rate is 30 percent. Calculate operating cash flow using the four different approaches.
| Approaches | Operating cash flow |
| EBIT + Depreciation - Taxes | $ |
| Top-down | $ |
| Tax-shield | $ |
| Bottom-up | $ |
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Financial Intelligence For IT Professionals
Authors: Karen Berman, Joe Knight, John Case
1st Edition
1422119149, 9781422119143
