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    Best Case Operating Cash Flow

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    You are analyzing a project and have developed the following estimates. The depreciation is $72,000 a year and the tax rate is 35 percent. What is the best case operating cash flow?

    Base Case Lower Bound Upper Bound
    Unit Sales 2700 2400 2900
    Price Per Unit $210 $190 $220
    Variable Cost per unit $140 $130 $160
    Fixed Cost $27,000 $25,500 $28,500

    1. 119775
    2. 138275
    3. 153075
    4. 164775
    5. 178275

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    https://brainmass.com/business/cash/best-case-operating-cash-flow-189382

    Solution Preview

    The best case scenario will have the highest unit sales at the highest price with lowest ...

    Solution Summary

    The solution explains how to calculate the best case operating cash flow for a project given the upper and lower bounds for various variables.

    $2.19

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