What is the amount of the operating cash flow

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Problem 1: Ronnie's Coffee House is considering a project which will produce sales of $6,000 and increase cash expenses by $2,501. If the project is implemented, taxes will increase by $1,301. The additional depreciation expense will be $1,001. An initial cash outlay of $2,000 is required for net working capital. What is the amount of the operating cash flow using the top-down approach?

Reference no: EM132937439

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