Projection for the firm operating cash flow

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Reference no: EM131343703

An expansion project will annually generate additional revenues of $2,500,000. It has fixed and variable costs totaling $1,250,000. It will increase depreciation by $620,000. The firm has a marginal tax rate of 34%. What is the projection for the firm's operating cash flow for this expansion project.

A. $630,000

B. 214,200

C. $1,035.800

D. 415,800

Reference no: EM131343703

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