Estimate the after-tax annual cash flow for the project

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Suppose a project will increase revenues by $300,000 a year. Cost of goods sold averages 40% of revenues. Other overhead operating costs will increase by $12,000 due to the project. Depreciation for the new project will be $30,000 annually. The firm is in the 25% tax bracket. Estimate the after-tax annual cash flow for the project.

Reference no: EM131342139

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