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You are analyzing a project and have developed the following estimates. The depreciation is $5,000 a year and the tax rate is 30.1 percent. What

You are analyzing a project and have developed the following estimates. The depreciation is $5,000 a year and the tax rate is 30.1 percent. What effect would the sale of one more unit have on the operating cash flow?

Base Case Cash Flow
Units Sales 2,487
Price Per Unit $35
Variable Cost Per Unit $23
Fixed Cost $7,100

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