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Rock Haven has a proposed project that will generate sales of 2 , 0 7 0 units annually at a selling price of $ 4

Rock Haven has a proposed project that will generate sales of 2,070 units annually at a selling price of $46 each. The fixed costs are $24,900 and the variable costs per unit are $15.55. The project requires $42,400 of fixed assets that will be depreciated on a straight-line basis to a zero book value over the 4-year life of the project. The salvage value of the fixed assets is $11,700 and the tax rate is 25 percent. What is the operating cash flow?
Multiple Choice
$31,249
$25,949
$39,199
$12,183
$34,429

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