What is the projected operating cash flow for this project

Assignment Help Finance Basics
Reference no: EM13268938

The Outpost currently sells short leather jackets for $349 each. The firm is considering selling long coats also. The coats would sell for $689 each and the company expects to sell 900 a year. If the firm decides to carry the long coat, management feels that the sales of the short jacket will decline from 1,420 to 1,265 units. Variable costs on the jacket are $210 and $445 on the long coat. The fixed costs for this project are $42,000, depreciation is $11,000 a year, and the tax rate is 33 percent. What is the projected operating cash flow for this project?

Reference no: EM13268938

Questions Cloud

Which strategy works best if a bidding war erupts : If you were Smith's financial advisor, which strategy would you advise he establish? Or would you argue that he not speculate on this takeover?
Wheat is dependent on number of inherited pigment genes : Kernal color in wheat is dependent on the number of inherited pigment genes that are additive in their effects. If an uppercase letter contributes pigment but a lowercase does not, what color of wheat kernels would be expected in the progeny when a p..
How much of this will be debt and equity : Compute the marginal cost of capital on the additional $150 million assuming the cost of debt stays the same.
Determine the heat flow down the rod : An iron bar 40 cm long is braised to a copper bar 50 cm long and of the same diameter. What is the heat flow down the rod if its cross-sectional area is 2.50 cm2
What is the projected operating cash flow for this project : The fixed costs for this project are $42,000, depreciation is $11,000 a year, and the tax rate is 33 percent. What is the projected operating cash flow for this project?
Suppose length of cucumbers has narrow sense heritability : Suppose the length of cucumbers has narrow sense heritability (h2) of 0.70. A population produces cucumbers that have an average length of 28 cm, and from this population a breeder selects a plant producing 35-cm long cucumbers to cross by self-ferti..
Find the total momentum of the two protons in the laboratory : Two protons, each having a speed of 0.940c in the laboratory, are moving toward each other. find the total momentum of the two protons in the laboratory
What is the equivalent annual cost of each light bulb : A kilowatt-hour is 1,000 watts for 1 hour. If you require a 9 percent return and use a light fixture 500 hours per year, what is the equivalent annual cost of each light bulb?
Involves deviant over conformity to the norms of sport ethic : During this course, the case was made that much of the violence in sports today involves deviant over conformity to the norms of the sport ethic. This is in contrast to the argument that commercialization and the media are the main causes of violence..

Reviews

Write a Review

 

Finance Basics Questions & Answers

  What is the current share price

Gruber Corp. pays a constant $9 dividend on its stock. The company will maintain this dividned for the next 12 years and will then cease paying dividends forever. If the required return on this stock is 10 percent, what is the current share price?

  Current cost of a bond

Pre-tax cost of debt capital  and Current price of the bonds.

  What is the balance of recievables at the end of june

February sales were $60,000 and March sales were $70,000. In the past bad debt percentage has been 0 and is expected to continue.

  Computation of weighted average cost of capital

Computation of weighted average cost of capital and What is Jake's weighted average cost of capital

  Determining the total book value of assets

Fixed assets can be sold today for= $23,300. Determine the total book value of assets of Alaris?

  What is the immediate dilution effect for new stock issue

The Hamilton Corporation currently has 2 million shares of stock outstanding and will report earnings of $6,700,000 in the current year. The company is considering the issuance of 1 million additional shares that will net $37 per share to the corp..

  Calculate the contribution margin ratio

Rock is sold to contractors who use the product in construction projects. Requires to increase sales by advertising. Spend $100,000 advertising campaign. Calculate the contribution margin ratio

  Forecasted interest expense on balance of debt

Suppose that all extra debt in the form of the line of credit is added at the ending of year that means that you must base forecasted interest expense on balance of debt at the commencement of year.

  Make a fundamental financial analysis of the company

Prepare a fundamental financial analysis of the company IBM from its published financial statements of the annual report year 2013, submit an 8- to 10-page paper (excluding appendices, cover page, abstract, and references).

  Find profit if the exchange rate goes up

Assume your company imports computer motherboards from Singapore. The exchange rate is currently 1.5803S$/US$. You have just placed an order for 30,000 motherboards at a cost to you of 170.90 Singapore dollars each.

  What is the cash flow recovery from net working capital

What is the cash flow recovery from net working capital at the end of this project?

  Determining exchange rate systems

There are flexible (floating) and fixed exchange-rate systems that nations use to correct imbalances in the balance of payments. When a nation has a payment deficit foreign exchange rates will increase

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd