Racin' scooters is introducing a new product and has an expected change in net operation income of $470,000. Racin' scooters has a 33 percent marginal tax rate. This project will also produce $97,000 of depreciation per year. In addition, this project will cause the following changes in year 1
without the project with the project
Account receivable $44,000 $68,000
Inventory 69,000 $75,000
Account 73,000 93,000
What is the project's free cash flow in year 1?
The free cash flow of the project in year 1 is $
Racin' scooters is introducing a new product and has an expected change in net operation income...
Racin' Scooters is introducing a new product and has an expected change in EBIT of $425,000. Racin' Scooters has a 33 percent marginal tax rate. The project will produce $90,000 of depreciation per year. In addition, the project will cause the following changes in year 1: What is theproject's free cash flow in year 1? WITHOUT THE PROJECT WITH THE PROJECT Accounts receivable 44,000 62,000 Inventory 65,000 89,000 Accounts payable 75,000 93,000
Racin' Scooters is introducing a new product and has an expected change in EBIT of $425,000. Racin' Scooters has a 33 percent marginal tax rate. The project will produce $90,000 of depreciation per year. In addition, the project will cause the following changes in year 1: What is theproject's free cash flow in year 1? WITHOUT THE PROJECT WITH THE PROJECT Accounts receivable 44,000 62,000 Inventory 65,000 89,000 Accounts payable 75,000 93,000
Racin' Scooters is introducing a new product and has an expected change in EBIT of $ 455000. Racin' Scooters has a 31 percent marginal tax rate. The project will produce $100000 of depreciation per year. In addition, the project will cause the following changes in year 1: What is the project's free cash flow in year 1? WITHOUT THE PROJECT WITH THE PROJECT Accounts receivable 43,000 70,000 Inventory 61,000 86,000 Accounts payable 74,000 97,000
(Calculating free cash flows) Racin' Scooters is introducing a new product and has an expected change in EBIT of $465,000. Racin' Scooters has a 31 percent marginal tax rate. The project will produce $110,000 of depreciation per year. In addition, the project will cause the following changes in year 1: 6. What is the project's free cash flow in year 1? The project's free cash flow in year 1 is $. (Round to the nearest dollar.) i Data Table Х...
Duncan Motors is introducing a new product and has an expected change in net operating income of $310,000. Duncan Motors has a 32 percent marginal tax rate. This project will also produce $51,000of depreciation per year. In addition, this project will cause the following changes in year 1: Without the Project With the Project Accounts receivable $31,000 $28,000 Inventory 20,000 35,000 Accounts payable 47,000 84,000 What is the project's free cash flow in year 1?
1. Visible Fences is introducing a new product and has an expected change in net operating income of $900,000. Visible Fences has a 34 percent marginal tax rate. This project will also produce $300,000 of depreciation per year. In addition, this project will cause the following changes: Without the Project With the Project Accounts receivable $55,000 $63,000 Inventory 65,000 80,000 Account payable 70,000 94,000 What is the project's free cash flow for Year 1 2. Assume that a new project...
Tetious Dimensions is introducing a new product that is expected to increase it net operating income by $475,000. The company has a 30% marginal tax rate. This project will also produce $200,000 of depreciation per year. In addition, this project will cause the following changes: Without the Project With the Project Accounts Receivable $105,000 $130,000 Inventory $200,000 $280,000 Accounts Payable $90,000 $130,000 What is the projects free cash flow for year 1?
(Calculating changes in net operating working capital) Tetious Dimensions is introducing a new product and has an expected change in net operating income of $790 comma 000790,000. Tetious Dimensions has a 3636 percent marginal tax rate. This project will also produce $180 comma 000180,000 of depreciation per year. In addition, this project will cause the following changes in year 1: Without the Project With the Project Accounts receivable $51 comma 00051,000 $93 comma 00093,000 Inventory 103 comma 000103,000 181 comma...
(Related to Checkpoint 12.1) (Calculating changes in net operating working capital) Tetious Dimensions is introducing a new product and has an expected change in net operating income of $765,000. Tetious Dimensions has a 36 percent marginal tax rate. This project will also produce $210,000 of depreciation per year. In addition, this project will cause the following changes in year 1: Without the Project With the Project Accounts receivable Inventory Accounts payable $56,000 103,000 69,000 $95,000 184,000 124,000 What is the...
(Related to Checkpoint 12.1) (Calculating changes in net operating working capital) Tetious Dimensions is introducing a new product and has an expected change in net operating income of $760,000. Tetious Dimensions has a 31 percent marginal tax rate. This project will also produce $190,000 of depreciation per year. In addition, this project will cause the following changes in year 1: Without the Project With the Project Accounts receivable Inventory Accounts payable $54,000 101,000 69,000 $88,000 177,000 117,000 What is the...