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Author Question: Fool Proof Software is considering a new project whose data are shown below. The equipment has an ... (Read 54 times)

olgamartinez04

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on: Aug 7, 2023
Fool Proof Software is considering a new project whose data are shown below. The equipment has an economic life of 3 years, and is in CCA class 10 (30%). Revenues and cash operating costs are expected to be constant over the project’s 3-year life. What is the net operating cash flow for Year 1?

 

Equipment cost

$68,000

​

Annual sales revenues

$70,000

​

Annual cash operating costs

$31,000

​

Tax rate

40%

​

 


◦

$27,162.50


◦

$27,480.00


◦

$28,359.25


◦

$28,715.50

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Marked as best answer by olgamartinez04 on Aug 7, 2023

DevinBrifm

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Reply #1 on: Aug 7, 2023
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olgamartinez04

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Reply 2 on: Aug 7, 2023
YES! Correct, THANKS for helping me on my review

Joy Chen

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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