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Gerry Co. has a gross profit of $850,000 and $340,000 in depreciation expense. Selling and administrative expense is $124,000. Given that the tax rate is 43 percent, compute the cash flow for Gerry Co. a. $562,520 b. $560,020 c. $510,000 d. $123,957

Gerry Co. has a gross profit of $850,000 and $340,000 in depreciation expense. Selling and administrative expense is $124,000. Given that the tax rate is 43 percent, compute the cash flow for Gerry Co. a. $562,520 b. $560,020 c. $510,000 d. $123,957

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Gerry Co. has a gross profit of $850,000 and $340,000 in depreciation expense. Selling and administrative expense is $124,000. Given that the tax rate is 43 percent, compute the cash flow for Gerry Co. a. $562,520 b. $560,020 c. $510,000 d. $123,957
Transcribed Image Text:Gerry Co. has a gross profit of $850,000 and $340,000 in depreciation expense. Selling and administrative expense is $124,000. Given that the tax rate is 43 percent, compute the cash flow for Gerry Co. a. $562,520 b. $560,020 c. $510,000 d. $123,957
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