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According to the top-down approach, what is the operating cash flow if sales are $200,000, total...

According to the top-down approach, what is the operating cash flow if sales are $200,000, total cash costs are $190,636, and the tax bill is $1,144?

$7,960

$7,420

$8,220

$8,680

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Answer #1

C. $8,220

OCF = Sales – Costs – Taxes

OCF = $200,000 - $190,636 - $1,144

OCF = $8,220

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