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Initial Cost $2,000,000 Project Life 5 years Revenues $1,400,000 Var. Costs $400,000 Fixed Costs $100,000 Tax Rate 40% Req. Return 15% What is the effect
Initial Cost $2,000,000 Project Life 5 years Revenues $1,400,000 Var. Costs $400,000 Fixed Costs $100,000 Tax Rate 40% Req. Return 15% What is the effect on Operating Cash Flow if revenues: a. Increase by 5%? Revenues b. Decrease by 10% revenues
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