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Assume a firm has earnings before depreciation and taxes of $610,000 and depreciation of $310,000. a. If it is in a 30 percent tax bracket,

Assume a firm has earnings before depreciation and taxes of $610,000 and depreciation of $310,000.

a. If it is in a 30 percent tax bracket, compute its cash flow.

b. If it is in a 15 percent tax bracket, compute its cash flow.

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