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What is the firms operating cash flow

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Reference no: EM132833895

Question - A firm has the income statement as follows:

SALES 10,000

COGS 7,000

Other Expenses 500

Depreciation 1,000

Total Operating Costs 8,500

EBIT 1,500

Interest expense 600

EBT 900

Taxes (40%) 360

NET INCOME 540

Required - What is the firms operating cash flow (OCF)?

A) 2,500

B) 900

C) 1,540

D) 1,900

Reference no: EM132833895

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