Question
VR Corporation has the opportunity to invest in a new project, the details of which are shown below. What is the Year 1 cash flow
VR Corporation has the opportunity to invest in a new project, the details of which are shown below. What is the Year 1 cash flow for the project?
| Sales revenues, each year | $42,500 |
| Depreciation | $10,000 |
| Other operating costs | $17,000 |
| Interest expense | $4,000 |
| Tax rate | 35.0% |
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Probability For Risk Management
Authors: Matthew J. Hassett, Donald G. Stewart
2nd Edition
156698548X, 978-1566985482
