For next year, By-Way has projected sales of $435,000, costs of $254,000, depreciation of $35,000, interest expense of $22,000, and taxes of $28,500. What is the amount of the projected operating cash flow

Respuesta :

The amount of the projected operating cash flow is $152,500

What is operating  cash flow?

Operating Cash Flow (OCF) is what measure the amount of cash generated by a company's normal business operations in its day to day activities.

Operating Cash Flow (OCF) is computed below:

Projected sales 435,000

(-) Costs                 254,000

(-) Depreciation  35,000

Operating income  146,000

Operating income  146,000

(+) Depreciation  35,000

(-) Taxes                  28,500

Projected operating cash flow $152,500

Hence, Projected operating cash flow is $152,500

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