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Rock Haven has a proposed project that will generate sales of 1,860 units annually at a selling price of $32 each. The fixed costs are
Rock Haven has a proposed project that will generate sales of 1,860 units annually at a selling price of $32 each. The fixed costs are $17,900 and the variable costs per unit are $9.95. The project requires $34,000 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 $8,900 and the tax rate is 21 percent. what is the operating cash flow?
20,044
12,048
26,923
11,065
21,568
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