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Suppose you are considering purchasing a new truck for your plumbing business. This truck will increase revenues $61,056 and operating expenses $34,404 in the next
Suppose you are considering purchasing a new truck for your plumbing business. This truck will increase revenues $61,056 and operating expenses $34,404 in the next year. Depreciation and amortization charges for the truck will equal $7,653 next year, and your firm's marginal tax rate will be 40 percent. Capital expenditures of $2,660 will be required to offset wear and tear on the truck, but no additions to working capital will be required. Calculate the FCF for the project in the next year.
Round the answer to two decimals.
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