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Sagot :
Cashflow of year 1 is $4,425.
What is cashflow in a business?
It refers to net cash and cash equivalents a company has, i.e. all the cash inflow minus the cash outflow. Cash inflow means cash received and cash outflow means cash paid.
Given:
Sales revenues= $11,900
Operating costs=$6,000
Tax rate=25%
Cashflow of year 1= Sales revenues - Operating costs (1-tax rate)
=$11,900-$6,000 (1-0.25)
=$4,425
Therefore, the cashflow of year 1 is $4,425
Learn more about cashflow in a business here:
https://brainly.com/question/26389863
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