Question: given the desire to cut carbon emissions force considering introducing a new production line of electric sedans the expected annual unit sales of the electric
given the desire to cut carbon emissions force considering introducing a new production line of electric sedans the expected annual unit sales of the electric cars is 29,000 and the selling price is 24,000 per car variable cost of production are 12,000 per car fixed over had including salary of top executives is 80 million per year however the introduction of the electric sedans will decrease Ford sales of regular sedans by 8000 cars per year the regular sedans have a unit price of 20,000 in a unit be able cost of 12,000 and fix cost of 250,000 per year depreciation cost of the new product line are 52,000 per year the marginal tax rate is 29% what is the incremental annual cash flow from operations?
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