???!! {Accounting-Operating cash flow} A 5-yearproject is expected to generate revenuesof $100000, variable costs of $24000, andfixed costs of $16500. The annual depreciationis $12000 and the tax rate is 35 percent. Whatis the annual operating cash flow?a. $43,275. b. $42,875.

Step 1: Definition of Operating Cash Flow (OCF)Operating Cash Flow (OCF) is the cash a company…

Answered: {Accounting-Operating cash flow} A…

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter19: Capital Investment

Section: Chapter Questions

Problem 23E: Assume that an investment of 100,000 produces a net cash flow of 60,000 per year for two years. The...

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{Accounting-Operating cash flow} A 5-year project is expected to generate revenues of $100000, variable costs of $24000, and fixed costs of $16500. The annual depreciation is $12000 and the tax rate is 35 percent. What is the annual operating cash flow?
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{Accounting-Operating cash flow} A 5-year project is expected to generate revenues of $100000, variable costs of $24000, and fixed costs of $16500. The annual depreciation is $12000 and the tax rate is 35 percent. What is the annual operating cash flow? a. $43,275. b. $42,875.