What is the cash flow from operations

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A four-year project will cost $82,000 to construct. This cost will be depreciated straightline to zero over the four-year life of the project (assume the half-year rule does not apply). The sales price per unit is $23 and the variable cost per unit is $12. Fixedcosts are $25,000 per year. If you expect to sell 6,000 units per year, what is the cash flow from operations in year 1, assuming a tax rate of 30%?

Reference no: EM133057381

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