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Alcon company is considering the purchase of a new assembly that will cost aroun $400,000. The same investment will reduce the company's cost by $150,000
Alcon company is considering the purchase of a new assembly that will cost aroun $400,000. The same investment will reduce the company's cost by $150,000 each year The tax rate is 35%. What would be the effect of the above transaction on the operatin cash flows for year 2? a. Net operating cash would increase by $202,500 b. Net operating cash would increase by $205,200 c. Net operating cash would increase by $205,200 d. Net operating cash would decrease by $202,500
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