A Nine-Year Project Is Expected to Generate Annual Revenues of $114,500,variable

question 45

Multiple Choice

A nine-year project is expected to generate annual revenues of $114,500,variable costs of $73,600,and fixed costs of $14,000.The annual depreciation is $3,500 and the tax rate is 34 percent.What is the annual operating cash flow?

• A)$14,301
• B)$14,788
• C)$15,052
• D)$17,506
• E)$18,944

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Definitions:

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