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In: Finance

How much net cash flow did Woodley generate over the past year?

The following information for Towsontown, Inc. is provided:

Net Sales:                                $88,000

Operating Costs:                     $72,000 (doesn’t include depreciation)

Depreciation Expense:             $ 7,200 (no amortization charges occurred)

Debt:                                       $40,000

Interest Rates:                          10% Annual

Tax Rate:                                 34%

How much net cash flow did Woodley generate over the past year?

a.     $3,168       

b.     $3,268       

c.     $10,168       

d.     $10,368       

e.     $11,368

Solutions

Expert Solution

jeff jeffy answered 2 years ago
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