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After-Tax Cash Flows For each of the following independent situations, compute the net after-tax cash flow amount by subtracting cash outlays for operating expenses and income taxes from cash revenue. The cash outlay for income taxes is determined by applying the income tax rate to the cash revenue received less the cash and noncash (depreciation) expenses.

	A	B	C
Cash revenue received	$78,000	$398,000	$198,000
Cash operating expenses paid	42,900	258,700	118,800
Depreciation on tax return	11,700	39,800	19,800
Income tax rate	30%	40%	20%

Do not use negative signs with any of your answers below.

	A	B	C
Cash revenue	Answer	Answer	Answer
Cash outlays:
Operating expenses	Answer	Answer	Answer
Income taxes	Answer	Answer	Answer
Total cash outlays	Answer	Answer	Answer
Net after-tax cash flow	Answer	Answer	Answer

Assigning Traceable Fixed Expenses Selected data for Colony Company, which operates three departments, follow:

		Department A	Department B	Department C
Inventory		$30,000	$108,000	$42,000
Equipment (average cost)		$270,000	$162,000	$108,000
Payroll		$607,500	$540,000	$202,500
Square feet of floor space		27,000	13,500	4,500

During the year, the company's fixed expenses included the following:

Depreciation on equipment				$45,000
Real estate taxes				13,500
Personal property taxes (on inventory and equipment)				21,600
Personnel department expenses				22,500

Assume that the property tax rate is the same for both inventory and equipment. Using the most causally related bases, prepare a schedule assigning the fixed expenses to the three departments. Hint: Not all fixed expenses are traceable to the three departments. One of these fixed costs should be considered a common cost and not traceable to the departments.

Do not round until your final answer. Round final answer to the nearest whole number.

		Department A	Department B	Department C
Depreciation		Answer	Answer	Answer
Real estate taxes		Answer	Answer	Answer
Personal property taxes		Answer	Answer	Answer
Personnel dept. expenses		Answer	Answer	Answer

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