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Computing the cash flow given the following information

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The initial investment outlay of $20 million for equipment only. Projects and equipment life is 5 years. Sales is projected to be $12 million per years for 5 years. Assume gross margin of 50% (exclusive depreciation). Depreciation for tax purposes, selling general and administrative expenses 10% of sales, tax rate of 35% for Apex Printing, Inc.

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The after-tax cash flow is calculated for a project.

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Initial investment outlay of $20 million for equipment only, projects and equipment life 5years. sales projected to be $12 million per years for 5years. assume gross margin of 50% (exclusive depreciation) Depreciation for tax purposes, selling general and administrative ...

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