Question
After-Tax Cash Flows Using the data that is shown below -(a) calculate the individual after-tax cash flow effect of each relevant item in each independent
After-Tax Cash Flows
Using the data that is shown below -(a) calculate the individual after-tax cash flow effect of each relevant item in each independent situation, and (b) sum the individual after-tax cash flows in each situation to determine the overall net after-tax cash flow.
A B C
Cash revenue received 220,000 1,050,000 550,000
Cash operating expenses paid 128,000 770,000 330,000
Depreciation on tax return 28,000 64,000 50,000
Income tax rate 30% 25% 20%
Do not use negative signs with any of your answers below.
A B C
(a) Cash revenue
Cash operating expenses
Depreciation expense
(b) Net after-tax cash flow
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