Question abc inc is considering the purchase of new, Ask an Expert

Finance

Question: ABC, Inc. is considering the purchase of new equipment. The annual sales are expected to be $496,065, the annual variable costs are expected to be $104,366, the annual fixed costs are expected to be $97,181, the annual depreciation expenses are expected to be $124,386. Assuming a tax rate of 39%, what is the operating cash flow?

View complete question

Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M92770047

Have any Question?Write your Review or question?

Related Questions in Basic Finance

1 serenas skincare sells sunscreen in orlando florida the

1.) Serena's Skincare sells Sunscreen in Orlando, Florida. The annual return for the company is affected by the average temperature of the year. When the weather is cold (25% of the year), normal (40% of the year) and ho ...

Craigs cake company has an outstanding issue of 15-year

Craig's Cake Company has an outstanding issue of 15-year convertible bonds with a $1,000 par value. These bonds are convertible into 80 shares of common stock. They have a 13% annual coupon interest rate, whereas the int ...

Assume the probability of a male being lt 21 is 1867 the

Assume the probability of a male being 50 is 4.80%, and the probability of being female and > 50 is 8.00%. Based on this information and the information in the tables above, what is the probability that someone

Does the agency problem only happen in the relationship

Does the agency problem only happen in the relationship between Employees and Stockholders? How about the relationship between clients and stars?

For any normal distribution 68 percent of the observations

For any normal distribution, 68 percent of the observations should fall within plus or minus one standard deviation of the mean. This means 68 percent of annual Tbill returns should fall within 1.3% and 6.9%.

1 construct an amortization schedule for the 300000 loan

1. Construct an amortization schedule for the $300,000 loan with a 3.5% interest rate compounded monthly. The loan will be paid back in 15 years making monthly payments. Identify the principal and interest payment of ea ...

What is forward marketgive some example of forward market

What is forward market? Give some example of forward market in tourism Analyze characteristics, advantage and disadvantage from the example

A study finds that the prices of stocks prior to large

A study finds that the prices of stocks prior to large dividend increases show on average consistently positive abnormal returns. Is this a violation of the efficient market hypothesis? Explain

Determine the internal rate of return for a project that

Determine the internal rate of return for a project that costs $167,000 and would yield after-tax cash flows of $20,000 per year for the first 5 years, $28,000 per year for the next 5 years, and $41,000 per year for the ...

Consider the stock of abc inc a growth stock that will

Consider the stock of ABC Inc., a growth stock that will increase its dividend by 20 percent for the next two years and then maintain a constant 12 percent growth rate, thereafter. The stock has a required rate of return ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Basic Finance Expert