Calculate the firm operating cash flow

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Reference no: EM131056657

The firm has an after- tax cost of capital of 12%, and its tax rate is 40%. Last year the firm had $12 million of sales, with operating margin of 28%, while depreciation expense was $800,000, and interest expense $200,000. The firm had capital employed of $5,000,000. Calculate the firm’s operating cash flow.

Reference no: EM131056657

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