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What is the projected operating cash flow for this project

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Question - The Outpost currently sells short leather jackets for $349 each. The firm is considering selling long coats also. The coats would sell for $689 each and the company expects to sell 900 a year. If the firm decides to carry the long coat, management feels that the sales of the short jacket will decline from 1420 to 1265 units. Variable costs on the jacket are $210 and $445 on the long coat. The fixed cost for this project are $42,000, depreciation is $11,000 a year and the tax is 33%. What is the projected operating cash flow for this project?

Reference no: EM133175958

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