•Calculate the change in operating cash flow for each year using the following information:

•The machine costs $1,000,000 and is depreciated using straight-line over five years.

•The machine will increase sales by $150,000 per year for five years.

•The tax rate is 40%.

•Working capital needs increase by $10,000 when the machine is placed in service and are reduced at the end of the life of the machine.

•There is no salvage value at the end of the five years.

Answer rating: 100% (QA)

Increase in revenue 150000 Depreciation CostSalvag... View the full answer