What is the operating cash flow

Reference no: EM132002359

ABC Company has a proposed project that will generate sales of 415 units annually at a selling price of $192 each. The fixed costs are $5,528 and the variable costs per unit are $59. The project requires $26,674 of equipment that will be depreciated on a straight-line basis to a zero book value over the 8-year life of the project. That is, depreciation each year is $26,674/8. The tax rate is 34 percent. What is the operating cash flow?

Reference no: EM132002359

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