Question

Subject test
Note: -
You are attempting question 1 out of 12
Alcon company is considering the purchase of a new assembly that will cost around
$400,000. The same investment will reduce the company's cost by $150,000 each year.
The tax rate is 35%. What would be the effect of the above transaction on the operating
cash flows for year 2?
a. Net operating cash would increase by $202,500
nos
b. Net operating cash would increase by $205,200
c. Net operating cash would increase by $205,200
d. Net operating cash would decrease by $202,500​

Answer 1

Answer:

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