A project is expected to generate annual revenues of $125, 700, with variable costs of $ 77,800, and fixed costs of $18,300. The annual depreciation is $4, 350 and the tax rate is 25 percent. What is the annual operating cash flow?
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- Jasmine Manufacturing is considering a project that will require an initial investment of $52,000 and is expected to generate future cash flows of $10,000 for years 1 through 3, $8,000 for years 4 and 5, and $2,000 for years 6 through 10. What is the payback period for this project?A five-year project is expected to generate annual revenues of $159,000, variable costs of $72,500, and fixed costs of $15,000. The annual depreciation is $19,500 and the tax rate is 21 percent. What is the annual operating cash flow? Can the calculator and excel solution be provided?You have calculated the pro forma net income for a new project to be $46,260. The incremental taxes are $23,030 and incremental depreciation is $17,090. What is the operating cash flow?
- A nine-year project is expected to generate annual revenues of $116,500, variable costs of $73,600, and fixed costs of $14,000. The annual depreciation is $3,500 and the tax rate is 34 percent. What is the annual operating cash flow?A project is expected to generate annual revenues of $120,900, with variable costs of $76,000, and fixed costs of $16,500. The annual depreciation is $4,050 and the tax rate is 21 percent. What is the annual operating cash flow? Multiple Choice O $28,400 $23,286 $46,520 $32,450 $63,020A cost-cutting project will decrease costs by $67,300 a year. The annual depreciation will be $16, 650 and the tax rate is 25 percent. What is the operating cash flow for this project?
- A proposed new project has projected sales of $244,500, costs of $123,100, and depreciation of $15,100. The tax rate is 21%. What is the operating cash flow of this project?A project has annual depreciation of $25,900, costs of $102,500, and sales of $151,500. The applicable tax rate is 35 percent. What is the operating cash flow?Consider a project that will produce sales of $55,150 and have costs of $31,100. Taxes will be $5,400 and the depreciation expense will be $3,325. An initial cash outlay of $2,250 is required for net working capital. What is the project's operating cash flow?
- A project with a life of 6 years is expected to provide annual sales of $260,000 and costs of $173,000. The project will require an investment in equipment of $490,000, which will be depreciated on a straight-line method over the life of the project. You feel that both sales and costs are accurate to +/-15 percent. The tax rate is 21 percent. What is the annual operating cash flow for the best-case scenario?A project with a life of 7 years is expected to provide annual sales of $270,000 and costs of $181,000. The project will require an investment in equipment of $505,000, which will be depreciated on a straight-line method over the life of the project. You feel that both sales and costs are accurate to +/-10 percent. The tax rate is 21 percent. What is the annual operating cash flow for the best-case scenario? Multiple Choice O O $80,460 $95,907 $82,497 $55,197 $121,089You are analyzing a project and have developed the following estimates: unit sales = 2,150, price per unit = $84, variable cost per unit = $57, fixed costs per year = $13,900. The depreciation is $8,300 a year and the tax rate is 35 percent. What effect would an increase of $1 in the selling price have on the operating cash flow?