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ABC Company has a proposed project that will generate sales of 483 units annually at a selling price of $273 each. The fixed costs are $5,359 and the variable costs per unit are $45. The project requires $35,027 of equipment that will be depreciated on a straight-line basis to a zero book value over the 10-year life of the project. That is, depreciation each year is $35,027/10. The tax rate is 32 percent. What is the operating cash flow?

Enter your answer rounded off to two decimal points.

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92843525

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