What is the operating cash flow for project

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Reference no: EM131348764

Marie's Fashions is considering a project that will require $41,000 in net working capital and $64,000 in fixed assets. The project is expected to produce annual sales of $62,000 with associated cash costs of $41,000. The project has a three-year life. The company uses straight-line depreciation to a zero book value over the life of the project. The tax rate is 34 percent. What is the operating cash flow for this project?

A. -$220.00

B. $21,113.33

C. -$17,580.00

D. $16,421.15

Reference no: EM131348764

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