(Answered) Abc company has a proposed project that will generate sales

Finance

ABC Company has a proposed project that will generate sales of 397 units annually at a selling price of $299 each. The fixed costs are $7,422 and the variable costs per unit are $122. The project requires $13,228 of equipment that will be depreciated on a straight-line basis to a zero book value over the 7-year life of the project. That is, depreciation each year is $13,228/7. The tax rate is 36 percent. What is the operating cash flow?

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