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What is the after-tax cash flow for year 2 and investment at the end of year 2. Initial investment Taxable income to owners in year


What is the after-tax cash flow for year 2 and investment at the end of year 2.



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Initial investment Taxable income to owners in year 1 A Corporation $5,000,000 B Company $5,000,000 400,000 C Company $5,000,000 500,000 200,000 After-tax cash flow for year 1 347,400 352,000 315,000 Investment at the end of year 1 5,347,400 5,352,000 5,315,000 Taxable income to owners in year 2 200,000 428,160 531,500 After-tax cash flow for year 2 376,781 334,845 Investment at the end of year 2 5,728,781 5,649,845 Taxable income to owners in year 3 200,000 458,302 564,985 After-tax cash flow for year 3 403,306 355,940 Investment at the end of year 3 6,126,702 6,132,087 6,005,785

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