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A Project Has Annual Depreciation of $15,028, Costs of $82,592

Question 76

Multiple Choice

A project has annual depreciation of $15,028, costs of $82,592, and sales of $138,765.The applicable tax rate is 34 percent.What is the operating cash flow according to the tax shield approach?


A) $21,540.09
B) $27,666.67
C) $27,157.02
D) $42,183.70
E) $39,878.84

Correct Answer:

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