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You are considering the purchase of a machine with an initial outlay of $45,000 with a 5- year life. It is expected to generate sales

You are considering the purchase of a machine with an initial outlay of $45,000 with a 5- year life. It is expected to generate sales of $58,000, operating costs excluding depreciation of $41,000, and interest expense of $3,000. What is the annual operating cash flow (year 1-5) if the tax rate is 40%? Firm uses straight-line depreciation method. O $13,800 O $15,310 O $15,093 O $14,870 None of the above
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You are considering the purchase of a machine with an initial outlay of $45,000 with a 5 year life. It is expected to generate sales of $58,000, operating costs excluding depreciation of $41,000, and interest expense of $3,000. What is the annual operating cash flow (year 1-5) if the tax rate is 40% ? Firm uses straight-line depreciation method. $13,800 $15,310 $15,093 $14,870 None of the above

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