QUESTION

90. Newton Industries is considering a project and has developed the following estimates: unit sales = 7,300, price per

Category: Business
Subject: Finance
Due Date: 02/03/2016
Question Asked: 2016-02-03 03:15:44

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90. Newton Industries is considering a project and has developed the following estimates: unit sales = 7,300, price per unit = $149, variable cost per unit = $91, fixed costs = $216,400. The depreciation is $94,700 a year and the tax rate is 35 percent. What effect would an increase of $1 in the selling price have on the operating cash flow? 
A. $4,745
B. $4,823
C. $5,316
D. $5,448
E. $5,565


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90. Newton Industries is considering a project and has developed the following estimates: unit sales = 7,300, price per

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Posted on 2016-02-03 03:15:44

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...tax rate is 35 percent. What effect would an increase of $1 in the selling price...

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