A proposed new project has projected sales of $140,000, costs of $62,000, and depreciation of $15,000. The tax rate is 30 percent. Calculate the operating cash flow using the four different approaches.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 6PA: There are two projects under consideration by the Rainbow factory. Each of the projects will require...
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Calculate the operating cash flow

A proposed new project has projected
sales of $140,000, costs of $62,000, and
depreciation of $15,000. The tax rate is 30
percent.
Calculate the operating cash flow using the
four different approaches.
Transcribed Image Text:A proposed new project has projected sales of $140,000, costs of $62,000, and depreciation of $15,000. The tax rate is 30 percent. Calculate the operating cash flow using the four different approaches.
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