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Save Submit Test for Grading uestions 4 Question 8 of 10 You have just landed an internship in the CFOs office of Hawkeswort

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Answer #1

Revenues= $13,000

Depreciation=$4,000

Other operating cost= $6,000

Net taxable income= $13,000-$4,000-$6,000 = $3,000

Tax rate=25%

Amount of tax= $3,000*25% = $750

Therefore, Year 1 Cash Flow= Revenues-Other Op. Costs- Tax= $13,000-$6,000-$750 = $6,250.

The answer is option e

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