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Go Fly A Kite is considering making and selling custom kites in two sizes. The small kites would be priced at $11.80 and the large
Go Fly A Kite is considering making and selling custom kites in two sizes. The small kites would be priced at $11.80 and the large kites would be $24.80. The variable cost per unit is $5.70 and $12.40, respectively. Jill, the owner, feels that she can sell 3,250 of the small kites and 1,895 of the large kites each year. The fixed costs would be $2,120 a year and the depreciation expense is $1,550. The tax rate is 35 percent. What is the annual operating cash flow?
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