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For a proposed project, a machine has an estimated installed cost, and basis, of $50,500 and would be depreciated straight-line to $2,500 over 6 years.
For a proposed project, a machine has an estimated installed cost, and basis, of $50,500 and would be depreciated straight-line to $2,500 over 6 years. The machine is expected to produce $20,500 in cash revenue. The estimated expenses for the first year are as follows: Labor @ $7,500; utilities @ $5,700; production overhead @ $800; and interest @ $2,000. The company tax rate is 30%" What is the estimated Operating Cash Flow for the first year
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