Find the cash flow from assets in the last year of project

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Reference no: EM131347702

A fixed asset for a 3-year project costs $1, 800 and is classified as a 3-year asset under MACRS; its salvage value will be $300 at the end of the project. Each year the project is expected to generate $1, 920 in sales and $980 in cost of goods sold. The project requires an investment of $250 in net working capital which will be recovered at the end of the project. The tax rate is 30%. The firm has other profitable opportunities sufficient to cover any losses. Find the cash flow from assets in the last year of the project.

Reference no: EM131347702

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