QUESTION
67. The Outpost currently sells short leather jackets for $349 each. The firm is considering selling long coats also. Th
Category: Business
Subject: Finance
Due Date: 02/02/2016
Question Asked: 2016-02-03 02:56:39
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67. 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?
A. $108,187
B. $111,264
C. $112,212
D. $119,672
E. $120,418
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67. The Outpost currently sells short leather jackets for $349 each. The firm is considering selling long coats also. Th
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Posted on 2016-02-03 02:56:39
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...r. 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...
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