1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
pogonyaev
3 years ago
15

The project is estimated to generate $1.735 million in annual sales, with costs of $650,000. If the tax rate is 21 percent, what

is the OCF for this project?
Business
1 answer:
k0ka [10]3 years ago
6 0

Answer:

$ 1,019,550

Explanation:

OCF = (sales - costs) * (1 - TC) + TC *(Depreciation)

sales = $ 1,735,000

costs = $ 650,000

tc= 21% = 0.21

So:

OCF = ( 1,735,000 - 650,000) * (1-0.21) + 0.21 * ($2,320,000/3)

OCF = $ 1,019,550

You might be interested in
Why is the profit motive considered an incentive in a market system?
dsp73
Inventive is to make more money because businesses can make more profit where money is expected.
Minimize costs and maximize revenues. .
7 0
3 years ago
What is the amount of money you still owe to their credit card company called
irina1246 [14]
Are you talking about Debt?
7 0
3 years ago
Read 2 more answers
Barnegat Light sold 100,000 shares in an initial public offering. The underwriter's explicit fees were $50,000. The offering pri
Rom4ik [11]

The best estimate of the total cost to Barnegat Light of the equity issue will be $1,050,000.

In addition to the explicit fees of $50,000, we should also take into account the implicit cost incurred to Barnegat Light from the underpricing in the IPO. The underpricing is $10 per share, implying total costs of $1,000,000.

Calculation for What is the best estimate of the total cost to Barnegat Light of the equity issue-:

Total cost = $50,000 + ($30 - $20)1,000,000 shares

Total cost = $50,000+($10)1,000,000 shares

Total cost = $50,000+$1,000,000

Total cost =$1,050,000

Therefore the best estimate of the total cost to Barnegat Light of the equity issue will be $1,050,000.

Learn more about Initial Public Offering (IPO)on:

brainly.com/question/15738101

#SPJ4

5 0
2 years ago
Ward and June are in the 32% tax bracket. A bond of Dell Computer Corporation with a face value of $10,000 is included in their
polet [3.4K]

Answer:

Tax Savings = 200

Explanation:

If Ward and June carry the bond, tax would be:

⇒ Interests * tax rate

⇒ 1000 * 32% = 320

They gift bond to their son, Wally, whose tax would be:

⇒ Interests * tax rate

⇒ 1000 * 12% = 120

The tax savings related to the transfer of Bond is:

⇒ 320 - 120 = 200

5 0
3 years ago
Read 2 more answers
Adjusting Entries Journalize the adjusting entry needed at December 31 for each situation. Record debits first, then credits. Ch
vladimir2022 [97]

Answer:

Date       Accounts Titles                Debit         Credit

Dec-31    Salaries expense              $2,300  

                     Salaries payable                         $2,300

Dec-31    Depreciation expense     $200

               (Furniture )

                      Accumulated depreciation        $200

                       (Furniture)

Dec-31    Insurance expense          $450

                       Prepaid Insurance                   $450

Dec-31    Supplies expense             $80

                        Supplies                                   $80

7 0
3 years ago
Other questions:
  • What do most real estate agents represent?
    8·1 answer
  • An immediate order to buy or sell common stock at the best price is a:
    11·1 answer
  • Borke Company has a credit balance of $3,000 in Allowance for Doubtful Accounts. The estimated bad debt expense under the percen
    8·1 answer
  • Pro Clean Company, a manufacturer of hand sanitizers, intends to produce 40,000 units in the third quarter and 35,000 units in t
    9·1 answer
  • Assume that effective forecasting requires a combination of technique, system support, and administration.
    6·1 answer
  • A production department's output for the most recent month consisted of 16,500 units completed and transferred to the next stage
    9·1 answer
  • Using the midpoint method, calculate the price elasticity of demand for Gondwanaland gosum berries. Explain what this price elas
    8·1 answer
  • Broussard Skateboard's sales are expected to increase by 25% from $8.6 million in 2016 to $10.75 million in 2017. Its assets tot
    7·1 answer
  • What does Rose argue should be the last part of a presentation to the VEnture capitalist?
    13·1 answer
  • The following graph shows the supply curve for a group of students looking to sell used smartphones. Each student has only one u
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!