The project is estimated to generate 2110000 in annual


Quad Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2.79 million. The fixed asset will be depreciated straight-line to zero over its three-year tax life, after which time it will be worthless. The project is estimated to generate $2,110,000 in annual sales, with costs of $805,000. If the tax rate is 35 percent, what is the OCF for this project? (Do not round intermediate calculations. Enter your answer in dollars, not millions of dollars, e.g. 1,234,567.)

Request for Solution File

Ask an Expert for Answer!!
Financial Management: The project is estimated to generate 2110000 in annual
Reference No:- TGS02848987

Expected delivery within 24 Hours