Calculating operating cash flows assume that a new project


(Calculating operating cash flows) Assume that a new project will annually generate revenues of $2,100,000 and cash expenses (including both fixed and variable costs) of $600,000, while increasing depreciation by $180,000 per year. In addition, the firm's tax rate is 35 percent; calculate the operating cash flows for the new project.

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Financial Management: Calculating operating cash flows assume that a new project
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