Question: What is the Year 1 net operating cash flow based on the following information? Sales revenues, each year $40,000 Capital cost allowance $10,000 Cash operating
What is the Year 1 net operating cash flow based on the following information?
| Sales revenues, each year | $40,000 | ||||||
| Capital cost allowance | $10,000 | ||||||
| Cash operating costs | $17,000 | ||||||
| Interest expense | $4,000 | ||||||
| Tax rate | 25.0% | ||||||
| $19,750 | ||
| $9,750 | ||
| $13,000
| ||
| $10,000 |
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