Calculating Project OCF Quad Enterprises is considering a new three-year expansion project that requires an...
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Finance
Calculating Project OCF
Quad Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2.9 million. The fixed asset will be depreciated straight-line to zero over its three-year tax life, after which time it will be worthless. The project estimated to generate $2,190,000 in annual sales, with costs of $815,000. If the tax rate is 35 percent, what is the OCF for this project? How do I solve this out in excel?
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