Problem:
The Beach House has sales of $784,000 and a profit margin of 8 percent. The annual depreciation expense is $14,000.
Required:
Question: What is the amount of the operating cash flow if the company has no long-term debt?
- $68,760
- $72,240
- $74,240
- $76,720
- $81,760
Note: Provide support for your rationale.