What is simcos cash flow from operations

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Reference no: EM131476788

Simco had annual sales of $180,000 with associated costs of $120,000 during 2012. The project increased net working capital $80,000 and fixed assets by $200,000 during the year. The project has a 10-year life. The company uses straight-line depreciation to a zero book value over the life of the project. The tax rate is 35 percent. What is Simco’s cash flow from operations for 2012?

A. -$34,000 B. $26,000 C. $46,000 D. $66,000 E. $180,000

Reference no: EM131476788

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