Homework Answers
NOPAT = EBIT * (1 - Tax)
EBIT = Sales - Costs - Depreciation
= 3300000 - 1100000 - 440000
= 1760000
NOPAT = 1760000 * (1 - 0.31)
= 1214400
Operating cash flows = NOPAT + Depreciation
= 1214400 + 440000
= 1654400
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