The project will initially require acquisition of a 120000

Reference no: EM13617912

Cherrywood Contracting is evaluating a project that will increase annual sales by $258,000 and annual costs by $109,000. The project will initially require acquisition of a $120,000 machine that will be depreciated straight-line to a zero book value over the 4-year life of the project. Cherrywood's combined federal, state and local tax rate is 45 percent. What is the operating cash flow for this project?

Reference no: EM13617912

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The project will initially require acquisition of a 120000 : cherrywood contracting is evaluating a project that will increase annual sales by 258000 and annual costs by 109000.

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