What is the annual operating cash flow for the worst-case

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Question - A 6-year project is expected to provide annual sales of $213,000 with costs of $96,500. The equipment necessary for the project will cost $350,000 and will be depreciated on a straight-line method over the life of the project. You feel that both sales and costs are accurate to +/-15 percent. The tax rate is 40 percent. What is the annual operating cash flow for the worst-case scenario?

Reference no: EM132993349

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