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part A. is already solved, please help solve part B. Assume a corporation has earnings before depreciation and taxes of $115,000, depreciation of $43,000, and
part A. is already solved, please help solve part B.
Assume a corporation has earnings before depreciation and taxes of $115,000, depreciation of $43,000, and that it has a 40 percent tax bracket. a. Compute its cash flow using the following format. b. How much would cash flow be if there were only $12,000 in depreciation? All other factors are the same. b. How much would cash flow be if there were only $12,000 in depreciation? All other factors are the same. Answer is not complete. c. How much cash flow is lost due to the reduced depreciation from $43,000 to $12,000 Step by Step Solution
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