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What is the annual operating cash flow of the new GPS System? Should Grady Precision Measurement Tools add the GPS system to its set of

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What is the annual operating cash flow of the new GPS System?

Should Grady Precision Measurement Tools add the GPS system to its set of products?

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NPR Grady Precision Measurement Tools has forecasted the following sales and costs for a new GPS system: annual sales of 45.000 units at $16 a unit, production costs at 3T'l'n of sales price. annual xed costs for production at $200,000; The company tax rate is 35%. What is the annual operating cash flow of the new GPS system? Should Grady Precision Measurement Tools add the GPS system to its set of products? The initial investment is $1,320,000 for manufacturing equipment1 which will be depreciated over six years (straight line) and will be sold at the end of ve years for $380,000. The most of capital is 11%. What is the annual operating cash ow at the new GPS system

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