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QUESTION 12 The following schedule reflects the incremental costs and revenues for a capital project. The com-pany uses stra of capital. Not yet answered Points
QUESTION 12 The following schedule reflects the incremental costs and revenues for a capital project. The com-pany uses stra of capital. Not yet answered Points out of 1.00 Flag ight-ine depreciation reflects an allocation of interest on the amount of this investment, based on the companys weighted average cost $650,000 Direct costs Variable overhead Fixed overhead $270,000 50,000 20,000 70,000 General & administrative 40,000 8,000 458,000 Total costs Net profit before taxes The annual cash flow from this investment, before tax considerations, would be Os192.000 o$200,000. O$262.000. 0$270.000 $192,000 Previous page
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