Part 4 The Capital Budgeting Process Assume a firm has earnings before depreciation and taxes of $200,000 and no depreciation. It is in a 40 percent tax bracket. a. Compute its cash flow. b. Assume it has $200,000 in depreciation. Recompute its cash flow. c. How large a cash flow benefit did the depreciation provide? 3. 4. Assume a firm has earnings before depreciation and taxes of $440 000 and