ABC has a proposed project which will generate sales of 194 units at a selling price of $230 each. The fixed costs are $11,362 and the variable costs per unit are $75. The project requires $134,046 of machinery which will be depreciated on a straight-line basis over the 5-year life of the project. That is, depreciation each year is $134,046/5. The tax rate is 29%. What is the operating cash flow?
Operating cash flow
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