Question: A store will cost $700,000 to open. Variable costs will be 33% of sales and fixed costs are $130,000 per year. The investment costs will

A store will cost $700,000 to open. Variable costs will be 33% of sales and fixed costs are $130,000 per year. The investment costs will be depreciated straight-line over the 10 year life of the store to a salvage value of zero. The opportunity cost of capital is 9% and the tax rate is 35%. Find the operating cash flow each year if sales revenue is $900,000 per year. Enter your response below. 331950 Correct response: 331,950+10 Click "Verify" to proceed to the next part of the question. Using an operating cash flow of 331,950, calculate the Net Present Value. Should the store be opened? Enter your response for net present value below. Number Open store Do NOT open store Click "Verify" to proceed to the next part of the
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