The correct formula of project cash flow is sales - costs - taxes - project capital spending.

Name: The correct formula of project cash flow is sales - costs - taxes - project capital spending.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The correct formula for project cash flow is typically: Cash Flow = Sales Revenue - Operating Costs - Taxes + Depreciation. Project capital spending is not subtracted directly in this formula; instead, depreciation (which spreads the cost of capital spending over its useful life) is added back.

The Correct Formula of Project Cash Flow Is Sales -