Calculate operating cash flow and the change in net working

Assignment Help Financial Accounting
Reference no: EM132904044

Cost of the new project $4,000,000

Installation costs $100,000

Estimated unit sales in year 150,000

Estimated unit sales in year 2 75,000

Estimated unit sales in year 3 40,000

Estimated sales price in year 1 $150

Estimated sales price in year 2 $175

Estimated sales price in year 3 $160

Variable cost per unit $120

Annual fixed cost $50,000

Additional working capital needed $435,000

Depreciation method

3 years straight-line method, no salvage value

Texas Rok's tax rate                40%

Texas Rok's cost of capital          13%

Problem 1: Calculate operating cash flow and the change in net working capital.

Reference no: EM132904044

Questions Cloud

How would you describe sony strategy : How would you describe Sony's strategy? What gives the company an edge over its rivals? Explain how the Mission and Vision statements influence each other.
Legal aspects of the healthcare industry : What are the advantages/disadvantages for Political, Economic, Social, Technological, Environmental, and Legal aspects of the Healthcare industry of General Ele
Explain casino marketing activities : While some of the following casino marketing activities could certainly be offered across multiple market segments, name the primary target market for the follo
Dimensionality reduction and feature selection : What's the difference between dimensionality reduction and feature selection? Given a sample dataset, apply feature extraction.
Calculate operating cash flow and the change in net working : Calculate operating cash flow and the change in net working capital. Cost of the new project $4,000,000. Installation costs $100,000
Describe povert and inequality : Describe povert and inequality. Outline 31 situations where the state has fail and provide examples and references
Determine the sample correlation coefficient : An electronics retailer would like to investigate the relationship between the selling price of a certain digital camera model and the demand for it. The accomp
Determine the regression equation : Bradford Electric Illuminating Company is studying the relationship between kilowatt-hours (thousands) used and the number of rooms in a private single-family r
What are the operational features of salesforce crm : What are the operational features of salesforce CRM? How small vendor CRM that is Centra Hub and Pega Hub CRM features that are not in salesforce CRM make the S

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd