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please help asap:) never had to email someone outside of chegg so ? Operating cash inflows Strong Tool Company has been considering purchasing a new
please help asap:)
never had to email someone outside of chegg so ?
Operating cash inflows Strong Tool Company has been considering purchasing a new lathe to replace a fully. depreciated lathe that would otherwise last 5 more years. The new lathe is expected to have a 5 -year life and depreciation charges of \$2,260 in Year 1; \$3,616 in Year 2; \$2, 147 in Year 3; \$1,356 in both Year 4 and Year 5; and $565 in Year 6 . The firm estimates the revenues and expenses (excluding depreciation and interest) for the new and the old lathes to be as shown in the following table . The firm is subject to a 40% tax rate on ordinary income. a. Calculate the operating cash inflows associated with each lathe. (Note: Be sure to consider the depreciation in year 8.) b. Calculate the operating cash inflows resulting from the proposed lathe replacement. c. Depict on a time line the incremental operating cash inflows calculated in part b. a. Calculate the operating cash inflows associated with the new lathe below: (Round to the nearest dollar.) ck on the icon here P in order to copy the contents of the data tabie below into a spreadsheet.) Step by Step Solution
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