particulars amount $
revenue 174000
variable cost 58000
fixed cost 24000
depreciation ( 1.45 m/ 25years) 58000
pretax profit 34000
taxes ( 25%) 8500
net income 25500
depreciation ( add) 58000
operating cash flow 83500
Laurel's Lawn Care Ltd., has a new mower line that can generate revenues of $174,000 per...
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Laurel's Lawn Care Ltd., has a new mower line that can generate revenues of $156,000 per year. Direct production costs are $52,000, and the fixed costs of maintaining the lawn mower factory are $21,000 a year. The factory originally cost $1.30 million and is being depreciated for tax purposes over 25 years using straight-line depreciation. Calculate the operating cash flows of the project if the firm's tax bracket is 25%. (Enter your answer in dollars not...
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Laurel's Lawn Care Ltd., has a new mower line that can generate revenues of $126.000 per year. Direct production costs are $42.000. and the fixed costs of maintaining the lawn mower factory are $16.000 a year. The factory originally cost $1.05 million and is being depreciated for tax purposes over 25 years using straight-line depreciation. Calculate the operating cash flows of the project if the firm's tax bracket is 25%. (Enter your answer In dollars not In mllllons.) Operating...
Laurel’s Lawn Care Ltd., has a new mower line that can generate revenues of $171,000 per year. Direct production costs are $57,000, and the fixed costs of maintaining the lawn mower factory are $23,500 a year. The factory originally cost $1.14 million and is being depreciated for tax purposes over 20 years using straight-line depreciation. Calculate the operating cash flows of the project if the firm’s tax bracket is 25%. (Enter your answer in dollars not in millions.)
Laurel’s Lawn Care Ltd., has a new mower line that can generate revenues of $147,000 per year. Direct production costs are $49,000, and the fixed costs of maintaining the lawn mower factory are $19,500 a year. The factory originally cost $0.98 million and is being depreciated for tax purposes over 20 years using straight-line depreciation. Calculate the operating cash flows of the project if the firm’s tax bracket is 25%. (Enter your answer in dollars not in millions.)
Trimble Lawn mowing bought a new mower for $10,000. The new mower will increase the annual revenues by $50,000, and increase the operating costs by $20,000. Trimble is using straight-line depreciation over a 5-year economic life. If the tax rate is 30%, please calculate the incremental after-tax cash inflow:
?(Calculating operating cash flows?) Assume that a new project will annually generate revenues of $ 2 comma 000 comma 000$2,000,000. Cash expenses including both fixed and variable costs will be $ 500 comma 000$500,000?, and depreciation will increase by $ 280 comma 000$280,000 per year. In? addition, let's assume that the? firm's marginal tax rate is 3232 percent. Calculate the operating cash flows. What is the? firm's operating cash? flows? ?$nothing?? ?(Round to the nearest? dollar.)
Tubby Toys estimates that its new line of rubber ducks will generate sales of $6.00 million, operating costs of $3.00 million, and a depreciation expense of $0.20 million. If the tax rate is 30%, what is the firm's operating cash flow? (Enter your answer in millions rounded to 2 decimal places.) Firm's operating cash flow million
A firm has invested $800 in a new machine that is expected to generate cash flows over the next 9 years. The machine will be depreciated on a straight line basis down to zero by the end of its life. The firm projects their annual cash inflows at $800 per year and annual cash outflows at 280 per year. Assuming the tax rate of 34%, determine the firm's cash flow next year. $
AAA Corp. currently has one product, high-priced lawn mowers. AAA Corp. has decided to sell a new line of medium-priced lawn mowers. The building and machinery for producing this new line is estimated to cost $11,000,000 and it will be depreciated down to zero over 20 years using straight-line depreciation. Also, an investment today on working capital in the amount of $4,000,000 is needed. The working capital will be recovered at the end of the project. Sales for the new...
A firm has invested $700 in a new machine that is expected to generate cash flows over the next 5 years. The machine will be depreciated on a straight line basis down to zero by the end of its life. The firm projects their annual cash inflows at $550 per year and annual cash outflows at 270 per year. Assuming the tax rate of 35%, determine the firm's cash flow next year. a 270 per Place your answer to dollars...