Ask Question
BusinessBusiness
30 June, 18:34

Benson, Inc., has sales of $38,530, costs of $12,750, depreciation expense of $2,550, and interest expense of $1,850. The tax rate is 21 percent. What is the operating cash flow, or OCF?

+4
Answers (1)
  1. 30 June, 21:43
    0
    Operating Cash flow is $19,440

    Explanation:

    Operating Cash flow

    Sales = $38,530

    -Costs = $12,750

    -Depreciation = $2,550

    Operating Income = $23,230

    -Interest Expense = $1,850

    Income before Tax = $21,380

    -Tax = $4,490

    Net Income = $16,890

    Operating Cash Flow = Net Income + Non-Cash Expenses - Increase in Working Capital

    Operating Cash flow = $16,890 + $2,550 - 0

    Operating Cash flow = $19,440
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Benson, Inc., has sales of $38,530, costs of $12,750, depreciation expense of $2,550, and interest expense of $1,850. The tax rate is 21 ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Healthy Living, a diet magazine, collected $240,000 in subscription revenue on May 31. Each subscriber will receive an issue of the magazine in each of the next 12 months, beginning with the June issue.
Answers (1)
Which of the following statements is correct? a. If a firm follows the residual dividend model, then a sudden increase in the number of profitable projects would be likely to lead to a reduction of the firm's dividend payout ratio b.
Answers (1)
Stephanie, a manager, came into your office last week to complain about her employees. "I just don't get the respect I deserve," she whined.
Answers (2)
Discuss how stereotyping, attribution, self - fulfilling, propehcy, halo, false-consensus, primacy, and recency effect influence the perceptual process
Answers (1)
1. A person that wishes to incorporate a business needs to a. Find stockholders b. Pay government dividends c. File for permission from the government d. Do all of the above
Answers (1)
New Questions in Business
S10-1 (similar to) Alpine Clothing purchased land, paying $ 110 comma 000 cash and signing a $ 270 comma 000 note payable.
Answers (1)
Hugh buys a new calculator for $125 from the PaperMills stationery store. A week later, he sees an ad from another stationery store, StationMax, selling the same calculator for $65.
Answers (1)
New seasons market, a locally owned and operated one-stop grocery store based in portland, oregon is committed to providing local products for its particular customer base.
Answers (1)
In 2010, the FTC added all of the following recommendations to its privacy guidelines except: A. firms should increase the transparency of their data collection. B.
Answers (1)
Simon, a trainer, meets with his team to discuss the possibility of senior engineers training the new engineers.
Answers (1)
Home » Business » Benson, Inc., has sales of $38,530, costs of $12,750, depreciation expense of $2,550, and interest expense of $1,850. The tax rate is 21 percent. What is the operating cash flow, or OCF?
Sign Up Forgot Password?