Homework Answers
c. $19,920
| Revenues | $128,100 |
| Variable Costs | $78,700 |
| Fixed costs | $19,200 |
| Depreciation | $4,500 |
| EBIT | $25,700 |
| Taxes($25,700 * 40%) | $10,280 |
| Net income | $15,420 |
OCF = EBIT + Depreciation - Taxes
OCF = $25,700 + $4,500 - $10,280
OCF = $19,920
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