Answer:
operation cash flow ( OCF ) is $98800
Explanation:
given data
number of units = 3800 units
variable cost = $185 per unit
fixed costs = $364,000
depreciation expense = $104,000
sales price = $305 per unit
tax rate = 35 %
fix cost = $360,000
to find out
what is the OCF given this analysis
solution
we know operation cash flow ( OCF ) is express as
OCF = [ { selling - variable cost ) × no of units } - fixed cost ] × [ tax rate ] + [ deprecation × tax rate ] ..............................1
put here all these value
OCF = [ { 305 - 185 ) × 3800 } - 360000 ] × [ 35% of income before tax ] + [ 104,000 × 0.35 ]
OCF = 96000 - 0.35×96000 + 36400
OCF = 62400 + 36400
OCF = $98800
Answer:
Power is an entity's or individual's ability to control or direct others, while authority is influence that is predicated on perceived legitimacy.
Answer:
True
Explanation:
This is true because you are updating the plan.
Answer:
True (A)
Explanation:
Interest paid which is also known as finance cost is deductible from operating income which reduces profit before tax i.e tax base and hence, reduces company tax liability.
Interest on loan is an allowable deduction in arriving at company taxable income unlike dividend which is not allowed.