Your company has net income of $425 on total sales of $1,850. Costs are $1,120 and depreciation is $195. The tax rate is 25 percent. The company does not have interest expenses. What is the operating cash flow? a. $425 b. $520 c. $620 d. $720 e. $830

Your company has net income of $425 on total sales of $1,850. Costs are $1,120 and depreciation is $195. The tax rate is 25 percent. The company does not have interest expenses. What is the operating cash flow? a. $425 b. $520 c. $620 d. $720 e. $830

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter6: Accounting For Financial Management

Section: Chapter Questions

Problem 11P: The Berndt Corporation expects to have sales of 12 million. Costs other than depreciation are...

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Question

Accounting answer

Your company has net income of $425 on total sales of $1,850. Costs
are $1,120 and depreciation is $195. The tax rate is 25 percent. The
company does not have interest expenses. What is the operating cash
flow?
a. $425
b. $520
c. $620
d. $720
e. $830

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