Calculate annual operating cf for the project

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1.)A proposed new project has projected sales of $85K, costs of $43K, and depreciation expense of $3K. All figures are annual figures. The tax rate is 35%. Calculate annual operating CF for this project.

a. $27,300

b. $14,700

c. $42,000

d. $28,350

2.)For the prior problem, calculate how many dollars of tax expense are "saved" each year because of the depreciation expense.

Reference no: EM131343994

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