Jennies Inc. is evaluating a project that will increase annual sales by $150,000 and annual cash...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Jennies Inc. is evaluating a project that will increase annual sales by $150,000 and annual cash costs by $92,000. The project will initially require $120,000 in fixed assets that will be depreciated straight-line to a zero book value over the four-year life of the project. The applicable tax rate is 35 percent. What is the operating cash flow for this project? O $48,200 O $43,480 $49,480 O $29,920 $11,220 Jennies Inc. is evaluating a project that will increase annual sales by $150,000 and annual cash costs by $92,000. The project will initially require $120,000 in fixed assets that will be depreciated straight-line to a zero book value over the four-year life of the project. The applicable tax rate is 35 percent. What is the operating cash flow for this project? O $48,200 O $43,480 $49,480 O $29,920 $11,220
Expert Answer:
Posted Date:
Students also viewed these finance questions
-
Consider two farmers, A and B, produce farm products and sell in the same market. Assume that the supply of the two farmers products are the same but the demand for Farmer Bs product is relatively...
-
The plunger of a pinball machine has mass mp and is attached to a spring of force constant k (Figure). The spring is compressed a distance x0 from its equilibrium position x = 0 and released. A ball...
-
Refer to the information presented in E5-13 for Paddle Away. Each of the following scenarios is a variation of Paddle Aways original data. Required: Prepare its contribution margin income statement...
-
Your firm is considering two projects with the following cash flows: a. If the appropriate discount rate is 12%, rank the two projects. b. Which project is preferred if you rank by IRR? c. Calculate...
-
John, Lesa, and Tabir form a limited liability company. John contributes 60 percent of the capital, and Lesa and Tabir each contribute 20 percent. Nothing is decided about how profits will be...
-
Many politicians say they want to reduce income inequality. One possible way to accomplish this is to increase taxes on high-income earners and use the revenue to fund growth-enhancing public goods....
-
I hope this goes better than last time, thought Craig Rooney as he thought about having to walk into the city councils chambers next week. Craig is the assistant chief of police in Newport, VA, and,...
-
Case study, you are making a conference for organisational behaviour in UAE market And how will u target your audience in the conferences to come. What strategies you will use? explain You are from...
-
WTO and the G8 it was very interlocked about how to see the different countries that make up the World Trade and the G8 Summit. Why only certain countries are only involved to make these decisions...
-
Jose is married filing a joint return. In 2 0 2 3 , he earned $ 1 6 0 , 0 0 0 of profit from his sole proprietorship ( after allowable deductions other than the QBI deduction ) , which operates a...
-
A circuit-switched network sets up a path between source and destination devices. The two devices use the same path, or circuit, throughout the conversation. This is the model the original analog...
-
What organization developed APR - DRG and what population did it cover? What is the purpose of APR - DRG ? What were the levels of severity? How many clinical categories were there?
-
If you realize that your estimate of population size was not very precise because the assumption of equal capture probability for all individuals was violated. Specifically, imagine that individuals...
-
Cobb Manufacturing Company uses a process cost system and average costing. The following production data is for the month of June 2011. Production Costs Work in process, beginning of the month:...
-
The Prepaid Insurance account began the year with a balance of $460. During the year, insurance in the amount of $1,040 was purchased. At the end of the year (December 31), the amount of insurance...
-
Graph 17 Use Kruskal's Algorithm to find a minimum spanning tree of the given graph. Graph it and calculate its weight. 9.3 a 1.5 13.3 5.2 8.7 Graph 17 2.0 50' 100 110 250 300 90 75 225 210 425 Graph...
-
Match the concepts of accrual accounting on the right with the assumptions or actions on the left: 1. Assumes expenses should be assigned to the accounting period in which they are used to produce...
Study smarter with the SolutionInn App