Question: Destroya Extermination Services projects next year's sales of its new X-Ray termite inspection service at 5,000 inspections priced at $175 each. The variable costs per
Destroya Extermination Services projects next year's sales of its new X-Ray termite inspection service at 5,000 inspections priced at $175 each. The variable costs per Inspection are expected to be $87.56. Fixed cash costs are expected to be $90,000 and depreciation $110,000. The company's marginal tax rate is 34% Variable Base Case Best Case Worst Case Quantity (0) 5.000 Increase by 10W Decrease by 10% Price (P) 5175 Increase by 10% Decrease ty 10 Variable Cost (VC) 587.5 Decrease by 10% Increase by 10% Cash Fixed cost (FC) $90,000 Decrease by 10% Increase by 10% What is the expected operating cash flow (OCF) for the worst case scenario? $383.240 5153,973 $84,910 $43.972
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