Question

Pompeii, Inc., has sales of $52,500, costs of $24,000, depreciation expense of $2,500 and interest expense of $2,250. If the tax rate is 23 percent, what is the operating cash flow, or OCF? (Do not round intermediate calculations.) Operating cash flow

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Answer #1

$52,500.0 sales $24,000.0 less: Costs less: Depreciation $2,500.0 $26,000.0 EBIT $2,250.00 less: Interest $5,462.50 less: tax

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