Question: What is operating cash flow and net present value ? Johnny's Lunches is considering purchasing a new, energy-efficient grill. The grill will cost $22,000 and
What is operating cash flow and net present value ?
Johnny's Lunches is considering purchasing a new, energy-efficient grill. The grill will cost $22,000 and will be depreciated straight-line over 8 years to a salvage value of zero. The grill will have no effect on revenues, but will save Johnny's $17,000 in energy expenses. The tax rate is 31 percent. What are the operating cash flows in years 1 to 8? Enter your answer below. Number Section Attempt 1 of 1 Verify
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