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last two mc options are $2,359,663 $2,483,856 Quad Enterprises is considering a new 3-year expansion project that requires an initial fixed asset investment of $5.076
last two mc options are
Quad Enterprises is considering a new 3-year expansion project that requires an initial fixed asset investment of $5.076 million. The fixed asset will be depreciated straight-line to zero over its 3-year tax life, after which time it will be worthless. The project is estimated to generate $4,512,000 in annual sales, with costs of $1,804,800. If the tax rate is 22 percent, what is the OCF for this project? Multiple Choice $2,707,200 $2,608,049 $791,856 $2,359,663
$2,483,856
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